Our signal is clear, that macroeconomic stability provided us rooms for monetary easing for supporting economic growth through interest rate cuts and ample liquidity in the banking system. Eventhough there is still room, we will be cautious in deliberating our further monetary easing.
As energy prices have moderated and supply disruptions have eased, inflation has started to abate. However, the process of returning inflation to 2 percent has a long way to go and is likely to be uneven and bumpy. Indeed, the inflation picture is less favorable than it appeared earlier this year.