Risks to prices are developments in firms' and households' medium- to long-term inflation expectations, the fact that there are items for which prices are not particularly responsive to the output gap, as well as developments in foreign exchange rates and international commodity prices going forward.
I was rather apprehensive of delivering a valedictory address in a Seminar like this, since – drawing a cricket analogy – it would be like going in as the last man to bat, having just walked into the stadium, having no clue about the state of the match!