The Bank of Israel is considered by the international institutions to be one of the best central banks in this area, and experts from the Foreign Currency Department are invited quite regularly to advise other central banks. The picture with regard to the payments system in Israel is the same.
They were followed by Canada, the United Kingdom, Sweden, Finland, Spain and Australia. Although the name suggests otherwise, direct inflation targeting, too, makes use of an intermediate target, viz. expected inflation. As expectations are by definition hard to quantify, information variables are employed to forecast future inflation. If the predicted inflation rate deviates from the target, interest rate adjustment is called for.