It should be stressed, however, that, in order to avoid an entrenchment of persistently high inflation, the Bank’s monetary policy stance will continue to be guided by the extent to which short-term price developments generate medium-term inflation expectations.
More generally, and as expected, the Bank will respond in a timely manner to any sustained deviation of the medium-term inflation forecast from the medium-term inflation objective range of 3 – 6 percent, without undermining the much needed sustainable economic growth.