As the macroeconomic problems intensified through the late 1980s, it became evident that what we needed was an explicit commitment to a path for bringing inflation down. The Canadian experience: agreeing on targets for inflation control February 1991 marked a turning point in this process.
At that time, the Bank of Canada and the Government of Canada, acting on a growing shared appreciation of the economic damage caused by high inflation, agreed to adopt explicit targets for inflation reduction. BIS Review 13/2002  1  Subsequently, inflation came down quickly - indeed, faster than envisaged by the agreement.