Second, given the rapid change that will affect the fintech sector in the future as well, regulation and supervision should be flexible, in order to encourage innovative projects and to avoid any obstacles to the changes that are also likely to affect the supply of technology-intensive services in the future.
Price stability is to be maintained over the medium term. Deflation is expressly inconsistent with this definition of price stability. Deflation is, particularly in combination with a fall in demand, at least as damaging as inflation. Persistent deflation, in combination with the fact that nominal interest rates cannot be negative, reduces the manoeuvring room for monetary policy.