Our central forecast is that the unemployment rate holds steady for a while at what is a historically very low level, but then increases a bit as the economy slows. Inflation is expected to start declining early next year and then take a couple of years to return to the 2 to 3 per cent range.
Dear Colleagues: In welcoming you all today, I hardly need to list the benefits of macroprudential policy and its instruments. I am sure that macroprudential policy works – especially as a preventive tool. Let’s take current Lithuania as an example.