These decisions will take account of state of the economy and the state of financial conditions, including whether financial conditions are appropriate for the state of the economy. The assessment will also take into account the state of the world economy and the policy settings of other central banks, as is always the case.
A range of suggestions aimed at solving the overvaluation problem have been provided by a number of commentators, such as:  5  Sometimes people use overvalued to mean a value of the exchange rate higher than indicated by economic fundamentals.