These tools would not be used against the regular flows that are a normal part of monetary policy transmission; instead, they would primarily be used when flows became too strong and there is the risk that monetary policy transmission along the interest rate channel would be weakened excessively In implementing monetary policy, the MPC takes into account the impact of monetary policy and its interactions with other aspects of economic and prudential policies, insofar as this is consistent with medium-term price stability. There will be reliable processes for exchange of information, discussion, and analysis of the interactions among these various factors. This will take place through consultations between the Ministry of Finance and the Central Bank; through the proposed macroeconomic council, where the interactions between economic policy and labour market decisions would be discussed; or in the Systemic Risk Committee and Financial Stability Council and joint meetings of the Monetary Policy Committee and the Systemic Risk Committee. The Central Bank plans to strengthen these processes still further by launching a new publication next year. The report, which will be issued at least once a year, will focus on the external position of the economy and its sustainability, the outlook for the balance of payments, and the exchange rate and signs of major deviations from the equilibrium exchange rate. Honoured guests: The revised monetary policy framework will be finalised in the next few months, before capital controls on residents are lifted.
•  Our banks, overall, remain profitable: over EUR 7 billion in the first half of the year. We ensure, contrary to certain rumours, that these earnings are reported using the strictest standards. In all probability, this trend – of lower but positive profits – should continue for the rest of this year. •  One reason for this profitability is that our banks have regular sources of income. They are universal banks. This sets them apart from banks in some other countries that depend exclusively, or for the most part, on financial markets. Our banks have a sound and recurrent source of future profits. This is a vital asset in periods when it is impossible to raise capital by issuing shares on the market. •  Lastly, the “manoeuvrability” of our banks remains excellent, as the recent takeover of Fortis’ assets by BNP Paribas shows. •  It should be recalled that almost all money-market mutual funds (SICAV de trésorerie) are offered by major banks. Everything that the President of the Republic has said and everything that I have just said about the soundness of our banks also applies to these funds. Credit developments are the subject of much focus in the current period. A cautious and balanced approach is required in their analysis and excessive optimism or pessimism should be avoided. The main facts can be resumed as follows: •  As a snapshot, credit growth remains strong (over 10% per year for companies and 9% for households).