Since the outset of the financial crisis in 2007, we had to adjust and expand our toolkit in order to be optimally equipped in serving our objective of price stability amid evolving challenges. The biggest challenge that we saw during the last year, I would summarize that with the term ‘fragmentation’. What is behind this?
12 Moreover, our experience has been that commodity-price inflation has been one of the least persistent forms of inflation. As a consequence, in the pursuit of our 2 per cent target for total CPI, we use our core measure as an operational guide.