Our guidance for interest rates and asset purchases ties the path of the federal funds rate and the size of the balance sheet to our employment and inflation goals. We are committed to using our full range of tools to support the economy for as long as it takes until the job is well and truly done.
Basel III is undoubtedly well thought through and reflects the lessons of the crisis. However, its implementation comes at a time when EMEs see their credit demand picking up. India, for example, is the second fastest growing economy in Asia but our credit-GDP ratio is the second lowest in Asia. Non-bank sources of credit and internal savings have kept bank credit growth low.