Today, I would like to address some frequently asked questions to explain the design of our monetary policy framework. I will discuss why we target inflation and not some other variable, like unemployment. I will talk about who bears a disproportionate brunt of inflation and why inflation is essentially a badly designed tax that increases poverty and inequality.
The recently issued Basel Committee on Banking Supervision consultation document on the implications of fintech for the financial sector assesses how technology-driven innovation in financial services, or “fintech", may affect the banking industry and the activities of supervisors in the near to medium term and advocates 10 key recommendations for banks and bank supervisors to address the challenges of fintech.