Another aspect, and one that is of particular importance, is its impact on price developments – keeping prices stable is, after all, our primary objective as monetary policymakers. Digital transformation impacts on inflation through multiple channels. One of them is the way technological progress pushes up productivity, driving down production costs. Prices ought to follow costs downwards, assuming there is sufficient competition.
4/8  BIS central bankers' speeches  Another is the shift in sales channels. It is becoming increasingly common to buy goods online rather in the local shop. As recently as in the year 2000, online trade accounted for a nearinvisible 0.3% of retail sales. By last year, that figure had already climbed to just under 10%.