So even if the exchange rate were to fall further, which in my view it needs to, we seem unlikely to have a problem with excessive inflation. Putting all that together, as things stand, the economy could do with some more demand growth over the next couple of years. Of course, these are forecasts. They might be wrong.
In fact, they will be wrong, in some dimension or other. Our published material goes to some lengths to articulate a range of “risks”. It is easy to think of “downside” ones in the current mood of determined pessimism. But it is not entirely impossible to think of upside ones as well.