Although monetary policy cannot influence the real exchange rate in a long-term perspective, it is still capable of influencing the extent to which equilibrium real appreciation – stemming from real convergence – should appear in consumer price (or wage) inflation and in nominal appreciation.
It is in the interest of the national economy to  BIS Review 98/2008  5  ensure that equilibrium real appreciation takes place within the context of steadily low inflation and moderate nominal appreciation. In order to curb inflation and stabilise inflation expectations, a stronger than moderate appreciation may be needed temporarily.