They are based on past 2/4  BIS central bankers' speeches  patterns of adjustment. But the current real economic crisis is affecting other sectors, and policymakers have responded differently. In short, we cannot rule out the possibility that, in an adverse scenario, significantly more enterprises could become insolvent than currently expected.
New companies are typically a key source of capacity growth, and while it is still too early to determine the trend, recent data on firm creation have been encouraging. We will update our views on the economy’s potential in the April MPR. The second issue was how the evolution of capacity pressures will affect the outlook for inflation.