And there’s another thing I wish to express very clearly: there is no need to loosen monetary policy any further in the current environment, either. Let me explain this briefly below. 3. Economic activity and monetary policy  3.1  Economic activity  The global economy is on a moderate growth path.
Though its momentum is weaker now than we had expected a little over half a year ago, the fears that prevailed in the financial markets every now and then did not materialise. However, right now we are seeing a shift in the dynamics of growth.