4  BIS central bankers’ speeches  Concluding remarks Emerging markets face a new chapter opening on the world economic stage. Certain beneficial conditions no longer in place or likely to fade include, first, the financial bonanza that occurred in the wake of the global crisis. Second, high commodity prices have already seen a reversal.
The "understanding of medium- to long-term price stability" is the level of inflation that each member of the Policy Board understands, when conducting monetary policy, as being consistent with price stability over the medium to long term. Each member, with this understanding in mind, judges whether Japan's economy will achieve sustainable growth under price stability, and makes policy decisions based on this judgment.