This is precisely what led the ECB to implement various “unconventional measures” during the different stages of the financial crisis. I will elaborate more on this, as well as on the new measures that the ECB announced on 6 October, in a moment. By construction, the monetary policy framework of the ECB (i.e.
We have also come to appreciate the increasing importance of stepping up our coordination with New Zealand’s fiscal authorities (the New Zealand Treasury) during unconventional times. Since 2018, an observer from Treasury has attended meetings of the Monetary Policy Committee as a non-voting member. The purpose of this initiative is to improve the flow of information between agencies.