Conclusion So I am leaving the scene of monetary policy with some truly fascinating issues unresolved, just as other colleagues will surely do when it is their turn to leave. As a final comment I am very conscious that I have collected the description of being a ‘hawk’: of erring on the side of rate rises. Certainly my willingness to allow thoughts about insurance to influence decisions at the margin, has meant that on the occasions when I have voted with the minority it has been on the upside for rates. But equally the longer term issues, such as those of labour supply and  pensions saving, are more likely to manifest themselves on the downside. I am certainly very conscious of these factors too and perhaps my concern about these slower burn issues attracts less attention from commentators on monetary policy. Because one thing I have discovered about monetary policy is that downside issues are just as important for us as the opposite. No matter; I for one shall after January watch from the sidelines how things progress, but with a feeling of gratitude and privilege for the welcome improvement of my understanding of this fascinating area.
In spite of delays in execution, the programme has, on the whole, been very successful. Our collaboration with the IMF according to the current economic programme will conclude in August, but of course, our long-standing co-operative relationship with the Fund will not end then. On behalf of the Central Bank, I would like to use this opportunity to thank the IMF and its staff for their efforts over the past two-and-a-half years. The conclusion of the IMF-supported programme and the implementation of the capital account liberalisation strategy bring the determination of Iceland’s future monetary  2  BIS central bankers’ speeches  and economic policy framework to the fore. That work has already begun, partly with the Central Bank’s December 2010 report entitled Monetary Policy in Iceland after Capital Controls. Let us think back for a moment to 1961, when the Central Bank of Iceland first opened its doors. As will be described in subsequent speeches, the Icelandic economy was changing rapidly at that time. A number of structural changes were well underway, and some of them are still in effect today. The policy of the time aimed at establishing market-based economic equilibrium in Iceland. Trade in goods and services was liberalised, and multiple exchange rates were supplanted by an exchange rate based on underlying economic conditions. Then, as now, Iceland was pursuing an economic programme in collaboration with the IMF. Then, as now, Iceland’s economic ties to the rest of the world were under review.