This assessment seeks to set out the considerations relevant to appraising the stance of monetary policy, both over the past year, and as foreshadowed in the target ranges announced for the year ahead. Monetary trends have been satisfactory in that the growth of the targeted aggregates was held within the target rangethough the fall in the exchange rate, after a period of stability, caused a reversal of part of the earlier fall in interest rates. In interpreting developments, account needs to be taken both of various changes in the economy which have affected monetary behaviour, and of monetary factors which have affected the course of the economy-interactions which have recently been especially important.
Published on
01 March 1983
General assessment