Failure to do so may result in a central bank’s operational discretion being fettered by institutional rules, removal of decision-making authority, or in extreme circumstances by intervention in the management of the central bank. At the same time, there needs to be recognition by all stakeholders of the significant financial risks that central banks take.
Private sector, the academia and institutions are all needed to build a compact of active partnerships. Smart partnerships can bring multiple wins for all involved in the medium and long term, where efforts of today can create opportunities for tomorrow. 1 Eurostat (2019), “Manual on Government Deficit and Debt — Implementation of ESA 2010”. 2 Global Infrastructure Outlook, Oxford Economics.