In contrast, if the economy lacked forward momentum and the risks of a return to the zero lower bound were judged to be considerably higher, I would want to continue reinvestment until the federal funds rate was higher. Consistent with the general principles I mentioned before, the evolution of the overall monetary policy stance – both interest rate decisions and balance sheet developments – should be data dependent. In my view, good monetary policy-making requires ongoing assessment and judgment, not the adherence to mechanical rules. I know market participants desire certainty, but in the uncertain world in which we live, that desire is not consistent with the policy that would best achieve our objectives. We will strive to communicate as clearly as we can so you can think along with us and alter your expectations just as we do in response to incoming information. Thank you for kind attention. I would be happy to take a few questions. BIS central bankers’ speeches  7
Moral development is equally important as technical development Laws can promote good governance but they cannot ensure its adoption in organisations. The experience of many regulators is that, on many occasions, organisations vociferously announce of governance principles, but in practice, totally disregard them. In other words, with respect to governance, there is a wide gap between what is on paper and what is actually practised. In the case of microfinance institutions, this gap has to be eliminated totally. A sure way to do it is to develop microfinance practitioners both morally and technically. To attain a high  BIS Review 82/2009  3  performance level, technical developments are necessary; but, without moral development, its sustainability cannot be guaranteed. Hence, the moral development of microfinance practitioners must receive the highest priority in any microfinance training programme. In simple terms, they should cultivate truthfulness, honesty, respectfulness and exemplar in them. A mere technical knowledge without these quality traits in-built into their personality would be meaningless as far as the future of microfinance industry is concerned. 4  BIS Review 82/2009