The new framework has enabled the bank to be proactive in countering inflationary pressures. The corridor regime has helped to check wide fluctuations in the interbank rates and also engendered orderly development of the money market segment and payments system reforms, among others. The Bank has over the years identified key priority sectors and developed tailored interventions to support and promote their growth.
This provides a framework both for interpreting economic news and for communicating our policy stance to our stakeholders so that it is more predictable over time. How, then, does the outlook appear through this lens? Page 6 of 9  As outlined earlier, the exchange rate and its long-term impact on price and wage determination remains the single biggest risk to inflation.