in the environment where the public expects us to keep inflation within the target range. this makes us extremely conscious of every policy decision we make, which in turn allows us to avoid potentially costly policy mistakes. but perhaps the biggest change is on the credibility front. the way we conduct policy and our track record have helped us to regain any credibility we may have lost following the unsuccessful defense of the baht. public confidence in the bank enables us to anchor private - sector expectations about future inflation, which in turn reinforces the effect of our policy. yet despite all the good things inflation targeting has brought us, it is not a panacea. in other words, there are limits to inflation targeting. an apparent example here is development of asset prices. also, past successes do not guarantee future success. the economic environment we live in today is inherently dynamic and continuously evolving. we therefore need to be aware of both old and new challenges to inflation targeting as a monetary policy framework. some observers have cautioned that thailand ’ s inflation targeting regime has not been truly tested. in particular, there has not been an incident that gives rise to a severe tension between inflation stabilization and other objectives. for example, thailand has not experienced sharp exchange rate movements that come into conflict with the inflation objective. nor has the country been in a situation where persistent supply shocks lead to a significant slowdown of the economy amidst rising prices. operationally, there are also issues on how far we should push transparency. a few inflation targeting central banks now put forecasts of policy rates in their inflation reports. should thailand follow these practices? should we publish our mpc minutes as the fomc does? and should we announce the weight we put on output gap stabilization relative to inflation stabilization explicitly in the inflation report. in the past, we only mentioned these weights occasionally in passing. all these questions will sooner or later have to be tackled when our inflation - targeting regime gains maturity. ladies and gentlemen, the issues i have mentioned, as well as other challenges confronting the conduct of inflation targeting in emerging economies, are the main focus of this international symposium. we are honored to have with us five leading international researchers who will present their in - depth studies on some of these issues along with highly regarded discussants and panelists, not to mention the rest of the participants. the goal is to have an intellectual exchange of ideas and practical experiences on these important issues. to make the most out of the one - and - a - half - day event

a “ rapport de force ” to its advantage in today ’ s multipolar and transactional world. the readiness to be shrewd, or even disruptive, on the global stage is not something a politically fragmented eu can hope to deliver any time soon. • this leaves us with important open questions : how can we preserve our single market while competing with the us and china? how can we be at the same speech ep130224 clean. docx 5. time agile and rule - based? how can we fulfil our ambitious climate objectives, while being candid about their implications? at the end of the day, it is all about politics. so, my job is easier than yours. let that be clear between us. thank you very much for your attention. speech ep130224 clean. docx