We have set the medium-term inflation target range at from 2.5 to 3.5 percent for the next three years beginning from 2013, and are operating monetary policy accordingly.
The Bank does not claim more accurate foresight than other analysts, but it can educate, inform, and explain its own decision-making approach, and thereby minimise one potential source of uncertainty. It can help make more predictable what would otherwise be less so. Doing so also provides important benefits for the Bank.