First, investment projects are often large, require irreversible sunk costs, and take time to build and operate. Undertaking them depends on expectations of future demand. Second, the expectations of individual firms are often influenced by the behaviour of other firms and perceptions of overall business confidence. Consequently, common movements in expectations can become self-fulfilling.
The continuous capacity-building of our staff, as well as the enhancement of our policies and methodologies in these areas including capital market and fintech development, will certainly support our primary objective of maintaining a stable monetary and financial system.