On July 31, we set out our first quarter review of the annual policy and you are all aware of the response of financial markets and the banking and financial system to our announcement.
Today, I propose to move away from the minutiae of the policy review and share with you my thoughts on the underlying macroeconomics and the unfolding of expectations for the period ahead. I propose to structure my address by beginning with an overview of domestic and global macroeconomic developments that conditioned our assessment and response on July 31.