This uncertainty means we should think about normalisation in terms of changes in the degree of accommodation we are providing based on the medium-term inflation outlook, rather than the distance of our policy tools from their unobservable theoretical levels.
Incidentally, people’s banks and Raiffeisen banks are required to adapt for the same reasons. However, due to their relatively centralised organisational structure, this adjustment ought to be comparatively easy. By contrast, the decentralised organisation of the savings bank sector makes an adjustment more challenging.