Removing this bias in taxation would encourage companies to strengthen their equity base. And this is not only important for the development of equity markets, but spills over to the other side of the financial system, i.e. banks.
While it is likely that annual inflation rates will fall again in the course of 2000, owing to base effects related to the price of oil, monetary policymakers need to look beyond developments over the next few months, i.e. policy will need to focus on the risks to price stability in the medium term.