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Stefan Ingves: Swedish experiences of monetary policy with an inflation target Speech by Mr Stefan Ingves, Governor of the Sveriges Riksbank, at the Conference on Inflation Targeting, organised by Magyar Nemzeti Bank (the Central Bank of Hungary) at the Hungarian Academy of Sciences, Budapest, 19 January 2007. *  *  *  First and foremost, thank you for the invitation to come here! The theme of my talk here today has a "practical" leaning. I will talk about the Swedish experiences of conducting an inflation-targeting policy and how our monetary policy strategy has developed along the way. Conducting monetary policy is in many ways a learning process. The Swedish experiences of the past decade or so provide a concrete example of how such a process may look. The Riksbank is one of the central banks that conduct monetary policy with an explicit inflation target. This is a group that has grown considerably in recent years. The main reason for this is probably that the experiences of this policy have on the whole been very good. In fact, so good that it has become an interesting alternative even for economies that are already functioning well. However, this was not the case at the beginning of the 1990s, when Sweden changed over from a fixed exchange rate to inflation-targeting and a floating exchange rate. We were then in the middle of a deep economic crisis and a situation where it was necessary to reform the entire stabilization policy framework.