This arises from the globally shared view that the “Great Moderation” period – which continued until the mid-2000s – successfully achieved general price stability but failed to prevent the global financial crisis.
The GEM is a very important forum as it assesses global economic and financial conditions, analyses economic and financial policy issues of common interest to central banks. It now exerts governance over the central bank cooperative activities conducted by various Basel-based central bank committees under the auspices of the BIS.