Gertrude Tumpel-Gugerell: Dinner speech at the 8th meeting of the T2S Advisory Group Speech by Ms Gertrude Tumpel-Gugerell, Member of the Executive Board of the European Central Bank, at the 8th meeting of the T2S Advisory Group, Frankfurt am Main, 15 May 2008.
Afterward, and in order to reduce uncertainty, action taken by the monetary authority combined direct intervention in the foreign exchange market – in coordination with the stateowned banks – to avoid inflationary pressures and the provision of liquidity in the money market so that the natural increase in interest rates would not become persistent and thus threaten credit dynamics.