A possible international slowdown in the coming two years could lead to growth failing to reach the level indicated in the main scenario of the Riksbank’s Inflation Report. Another question that affects the Riksbank’s monetary policy considerations is developments in the property market. Exaggerated increases in asset prices can lead to subsidence in the future. With a larger percentage of debt in relation to income and with shorter periods for fixing interest rates on loans, it is probable that monetary policy would have a stronger and faster impact on household consumption. Moreover, the Riksbank’s tasks include not only safeguarding price stability, but also financial stability. This is a further reason for closely following developments in indebtedness in the economy and price trends in the property market. In the event of economic shocks it might be necessary to weigh price stability, real economic stability and financial stability against one another; it might not be possible to achieve all of the objectives at the same time. 5/7  Future challenges for monetary policy Some factors that have monetary policy significance do not change according to the Swedish business cycle. This includes the effects of globalisation. As I mentioned earlier, globalisation and increased competition from low-cost countries like China and India have contributed to lower inflation by way of import prices, increased competition and greater pressure for structural change. This makes demands not only of monetary policy, but also structural and fiscal policy.
***  2/3  BIS - Central bankers' speeches  1 Insurance Business Asia Report, 23 Dec 2021. https://www.insurancebusinessmag. com/asia/news/property/apac-property-market-pegged-at-us137-5-billion-for-2025320798.aspx 2 Swiss Re Group, 23 Apr 2021. https://www.swissre.com/risk-knowledge/risk-  perspectives-blog/climate-change-cost-asia-pacific.html  3/3  BIS - Central bankers' speeches