In the process of setting these objectives, we matched our central banking pillars with what is relevant to our stakeholders. Addressing the first pillar, we shall continue to implement a forward-looking monetary policy anchored on credible forecasts and risk assessments.
With inflation targeting as our framework, we shall keep sharpening our forecasting capability through further enhancements of our inflation forecasting models and understanding better the transmission mechanism for monetary policy in a world marked by globalization and financial innovation . For the second pillar, our thrust is proactive regulation and effective supervision of banks as well as other supervised and regulated industries.