To a considerable extent, monetary policy easing is working no differently today than in the past: It stimulates interest-sensitive spending. But there are many forces at work in this cycle that have required interest rates working through their effects on household spending to shoulder an unusually heavy burden to support growth.
Since I took the office in May 2013, I was in the view that the policy shift is needed to lower the current account deficit gradually to a sustainable level. It’s my firm believe that any delay in responding to economic imbalance often cause us to lose momentum, which carries a harmful consequences on the economy as a whole.