That productivity is needed to ensure real wage increases over the medium term.”  BIS central bankers’ speeches  1  These words although referring to the UK economy, they could be easily applicable to the South African economic situation as well. We pursue price stability not because it is good for government or for the financial sector.
We pursue price stability because it is good for workers, for job creation and for poorer sections who lack the means to hedge or to protect themselves against inflation. It is true that there can be short term economic and indeed employment benefits from more accommodative monetary policy.