The adoption of this policy means firstly, price increases should be kept at a level lower than the rate of economic growth. Secondly, the growth of money supply should be slightly above the sum of the rate of economic growth and the target rate of the price increase.
Thirdly, indirect monetary instruments should be used more frequently for relating money supply so that the economy will not be too volatile. Our efforts in the past three years are beginning to pay off. We have successfully curbed inflation by making macro-economic adjustments. Firstly, the growth of the money supply has slowed down.