As a result, this renders the assessment of inflationary pressures difficult which, in turn, complicates the process of monetary policy formulation. The recommendation of the National Statistical Commission (NSC) regarding the importance of developing an appropriate index is relevant in this regard and, when implemented, may alleviate the situation.
As regards structural reforms, the Governing Council fully supports any efforts that enhance competition, increase productivity and foster economic flexibility, thus promoting higher sustainable real GDP growth and employment. Exploiting the complementary nature of reforms would increase their benefits in terms of long-term economic dynamism and price stability.