Obviously, therefore, the Bank will manage monetary policy as guided by this aim and pursue the new price stability target set under this aim. With a view to achieving sustainable growth with price stability, the Bank will examine the current state of the economy and prices and the outlook thereof, and ascertain whether there is any significant risk, including financial imbalances.
Such a policy framework is the same as those currently adopted by many other central banks. In this regard, if one is to call this “flexible inflation targeting”, the Bank’s framework may be regarded as such. Looking at the practices of overseas central banks, irrespective of the adoption of inflation targeting, no specific date has been set for achieving price stability.