Price stability contributes to the economy’s growth and employment prospects in the longer term and helps to moderate the variability of output and employment in the short to medium term. Price stability allows the economy to function in a more efficient and more productive manner by giving individuals and businesses more confidence that the purchasing power of their money will be maintained over time.
I am pleased to announce that the Bank of Canada will introduce a new semi-annual publication, The Financial System Review (FSR). We are planning for the first issue to be available late next month. In it, we will publish some of the Bank's ongoing work in monitoring financial system developments and analyzing the direction of financial sector policy.