In essence, monetary analysis mainly will serve as a means of cross-checking, from a medium- to long-term perspective, the short to medium-term indications coming from economic analysis. This cross-checking ensures that monetary policy has a nominal anchor beyond the conventional projection horizon.
One such occasion was the management of the cash changeover in early 2002; another test of the resilience of the framework came after the terrorist attacks in September 2001. The present market turmoil provides a new challenge to the framework, perhaps the biggest so far. Let me briefly summarise the way in which the different features of the framework have proved to be important.