Discipline within the Bank is stipulated by the purpose imposed on the central bank, that is, contributing to sustainable growth through price stability and financial system stability. Meanwhile, the government is required to uphold fiscal discipline.
On this point, the government stated clearly that it “will steadily promote measures aimed at establishing a sustainable fiscal structure with a view to ensuring the credibility of fiscal management”. Once credibility is eroded and the economy falls into a state of confusion, there will be limited room for maneuver by the central bank.