The MPC will keep a close watch on underlying inflationary pressures, and to what extent these are reflected in inflation expectations and wage settlements, in addition to which, we will pay close attention to global economic and financial market events as they unfold. 4.
Conclusion  Monetary policy makers across the world have to make difficult decisions in a highly uncertain and volatile economic and financial market environment, and have to be careful and ensure that higher inflation expectations do not become entrenched, but also ensure that actions taken to contain inflation are not premature and risk a further slowing in growth.