the development of digital services, remote work, and online trade has accelerated, the demand for some professions is declining, while the demand for others is growing. therefore, unemployment that has risen during the crisis period might be structural in nature : staff shortages in some sectors might be coupled with higher unemployment rates in other industries. this might induce proinflationary pressure, even if unemployment stays close to prepandemic rates. what does this mean for our monetary policy? 1 / 7 bis central bankers'speeches firstly, russia is one of the countries where the economy is bouncing back fast and has almost reached its pre - crisis level. furthermore, russia is one of the first states which started to tighten its monetary policy. our economy is now close to its potential. if we had continued accommodative monetary policy, it would not have promoted growth any longer, but would have only provoked bubbles in the market. as inflation has risen both globally, and inside the country due to internal and sufficiently steady factors, we need to take committed efforts to bring inflation back to the target. secondly, monetary policy significantly promoted the fast rebound of the russian economy. i mean not only and not so much the reduction in the key rate in spring 2020. the main thing is the result of inflation targeting over recent years. we were able to shift towards countercyclical monetary policy and aid the economy during the crisis, rather than combat the soaring risks of inflation, as we used to before, exactly because we had been maintaining inflation close to the target for a rather long period of time. this reassures us that we have made the right choice and that our monetary policy instruments enable us to achieve our goals in very diverse circumstances. thirdly, shifts in the economy and peoples ’ and businesses ’ expectations and behaviour might require central banks to adjust all their policies, including monetary policies. to this end, most central banks, first of all those pursuing inflation targeting policies, carry out regular in - depth analysis of their goals and instruments, that is, a review of their monetary policies. this year, we are going to make such a review as well. we have been targeting inflation for five years by now. over this period, we were able to maintain inflation close to the target for quite a long time. by the moment, the financial sector and, largely, the society and businesses have a better understanding how this works. professional market participants have their inflation expectations anchored at the long - term target, and, importantly

’ s look at the trading activity and market liquidity on that day. in the two panels of slide 3, the green curve represents the spot rate for eurchf on 8 february 2018. the red curve represents two different variables : in the left - hand panel it denotes the intraday turnover for eurchf, while in the right - hand panel it shows the bid - ask spread, which is an indicator of transaction costs. finally, the salmon - coloured area shows the historical average. we can see that trading activity between 17 : 00 and 17 : 30 was above the historical 6 i should also add that knowledge - sharing between central banks has been stepped up at international level. cf., for example, the report by the bank for international settlements, monitoring of fast - paced electronic markets, 17 september 2018. page 5 / 9 average. by contrast, the bid - ask spread widened only slightly, before swiftly returning to normal levels. as a result, despite the strong swiss franc appreciation, market liquidity remained strong. if we combine the information in these three charts, we can see that the swiss franc appreciation recorded on 8 february was accompanied by high transaction volumes, but this was absorbed comparatively easily by the market. this example shows how we analyse the microstructure of the market in real time. but capturing micro - changes in real time is not enough to allow an understanding of the underlying market dynamics of the swiss franc. rather, we need to be able to tie them to longer - term trends, in other words a period spanning several weeks or months. since the beginning of the year, for instance, we have observed three risk - off events that put upward pressure on the swiss franc, as illustrated by the red curve in chart 4. first, last february, concerns surrounding a faster - than - expected tightening of monetary policy in the us triggered a major stock market sell - off and a corresponding volatility spike ( green curve ). then, in may, political uncertainty in italy led to a considerable widening of the yield spread between german and italian 10 - year bonds ( blue curve ). demand for various asset classes regarded as safe havens, such as the swiss franc, increased. finally, in august, we witnessed a huge sell - off of certain emerging market currencies and an increase in their volatility ( yellow curve ). fears of global contagion resulted in the franc appreciating strongly. it remains a