However, they can lead to weaker financial and credit discipline, encourage excessive risktaking, add to market volatility and fuel asset price-led or credit-led boom-bust cycles risks. All these evils will mitigate if we, as bankers, focus on financial innovations to support economic growth. The innovations must lead to affordability.
7  On the other hand, regarding the second factor for inflation -- that is, firms' growth expectations -- many firms unfortunately do not seem to have raised their expectations yet, partly due to the global supply-side constraints that I pointed out earlier.