(2) Red diamonds correspond to forecasts in the central scenario of June 2023 MP Report for each year in 2023-2025 period. (3) For oil: WTI-Brent average price per barrel. Sources: Central Bank of Chile, Bloomberg, and FAO. 18  Figure 20  MPR corridor (*)  (quarterly average, percent)  25.II  25.I  24.IV  24.III  24.II  24.I  23.IV  23.III  23.II  23.I  22.IV  22.III  22.II  22.I  21.IV  21.III  21.I  21.II  Jun.23 corridor FTS EES Mar.23 corridor MPR  13.0 12.0 11.0 10.0 9.0 8.0 7.0 6.0 5.0 4.0 3.0 2.0 1.0 0.0  (*) The corridor is built with the methodology described in box V.1 in March 2020 MP Report and box V.3 in March 2022 MP Report. For details, see methodological note in figure II.10, June 2023 MP Report. Source: Central Bank of Chile. 19
The lower share prices and the contagious spread of the crisis to other markets were liable to have consequences via decreased demand for exports from the industrialised countries, as well as via more cautious behaviour among their consumers and firms. BIS Review 14/1999  –3–  The problems in LTCM also aroused fears of a considerably more serious scenario where banks in the industrialised countries became so cautious about granting credit that this would paralyse global economic activity. As the signs of an international slowdown became increasingly clear and were accentuated by the growing turbulence in financial markets, the Riksbank revised its assessment of the Swedish economy and the path of inflation. This warranted some easing of the monetary stance. In November the repo rate was therefore lowered in two steps, from 4.10 to 3.60%. In the December Inflation Report it was still considered that in one to two years’ time, both the change in the CPI and the underlying rate of inflation would be below the Riksbank’s 2% target for price stability. On 16 December the repo rate was therefore lowered another 0.2 percentage points, to 3.40%. After this adjustment, responsibility for the future formulation of monetary policy passed to the Riksbank’s new Executive Board, which would be taking over from the turn of the year. Strong finish to 1998 Most signs suggest that activity in the Swedish economy was fairly strong in the latter part of 1998. GDP figures have still to be published but the available statistics point to a good fourth quarter.