We have in the recent past managed to coordinate among others, market expectations on inflation, which is a great boost to the credibility of central banks in discharging the principal mandate of price stability. This outcome partly reflects implementation of appropriate operational frameworks that have strengthened both the signaling of the policy stance and fining-tuning interbank liquidity management.
However, a few challenges, though no less important, still remain especially in the conduct of open market operations where interventions to stabilize interbank liquidity are at times misinterpreted by money market participants as an attempt to defend a particular level or direction of the value of the currency.