Deviations from strategy under extraordinary circumstances can be clarified when they are warranted. 14 Challenges for emerging economies Emerging economies confront their own challenges for appropriately conducting monetary policy. On the one hand, these countries need to control inflation, especially in light of long histories of significant price instability.
This intermediation role is played by both the banking sector and other savings and deposit taking institutions in the economy. Within our financial sector, S & L companies and other lowertier financial services companies are expected to provide financial access to the rather large informal sector which is mostly characterized by the unbanked and underserved population.