However, this is seldom the case. Headwinds and tailwinds are often present, threatening to push economic activity and inflation higher or lower. Monetary policy needs to lean against these forces with opposing pressure from higher or lower interest rates in order to stabilize the economy and to keep inflation on target.
For example, the Bundesbank took part in the task force on remittances set up by the Committee on Payment and Settlement Systems and the World Bank. This task force agreed on “General principles for international remittance services”, which focus on payment system aspects. Furthermore, we take part in international efforts to improve the data on remittances.