But the responsible authorities must stick to their given target. For us, it is an inflation rate that is below, but close to, 2%. We do not ignore the consequences of our actions. But we must also fulfil our responsibility and others have to fulfil theirs.
The relatively good macroeconomic situation provides a fitting time to focus on solving fundamental problems in the Israeli economy that may have an effect on its ability to achieve inclusive and sustainable growth. Chief among those are increasing productivity, improving human capital, reducing bureaucracy, and dealing with the long-term implications of expected demographic developments. 4/4  BIS central bankers' speeches