I will discuss each of these points, beginning with the importance of price stability in the long run and then turning to the short-run issues. Price stability and economic performance in the long run Constrained discretion, at its foundation, recognizes the critical importance of maintaining price stability, both in the long run and in the short run.
Within the remit of the Central Bank’s responsibilities, the approach to mortgage arrears resolution is focused on ensuring the fair treatment of borrowers through a strong consumer protection framework while ensuring banks are sufficiently capitalised, hold appropriately conservative provisions, and have appropriate arrears resolution strategies and operations in place.