While the actions arising out of the concerns are varied, they normally involve a combination of monetary policy measures, both direct and indirect, and often involve management of the capital account in several ways without excluding, in some cases, administrative actions.
Therefore, although there are underlying inflation pressures in emerging market countries due to relatively buoyant economic activity, overall global inflation is projected to decline from 4.6 percent in 2011 to 3.4 percent in 2012. As a result, monetary policy is expected to be generally accommodative in these countries.