tiff macklem : staying the course to price stability remarks by mr tiff macklem, governor of the bank of canada, at the toronto region board of trade, toronto, ontario, 4 may 2023. * * * introduction good afternoon. i want to thank the toronto region board of trade for inviting me to speak today. i can't think of a better audience to speak with about price and financial stability, and i very much look forward to our discussion. the bank of canada began raising interest rates in march of last year, and 14 months later we can see that monetary policy is working to bring inflation down. in march of this year, consumer price index ( cpi ) inflation was 4. 3 % - or roughly half of what it was last summer when it peaked at just over 8 %. we expect inflation to decline further to about 3 % this summer. this is good news. but i'm not here to talk to you about the journey from 8 % to 4 % or even 3 %. i'm here to talk about staying the course to price stability and getting the rest of the way back to the 2 % target. monetary policy still has work to do. i want to talk to you about the challenges and risks in the journey back to target. i also want to discuss the recent stress we've seen in the global banking sector and how financial stability and price stability reinforce each other. restoring price stability early in the covid - 19 pandemic, inflation in canada was sparked by global forces, including supply chain disruptions and a spike in global demand for goods. russia's invasion of ukraine last year drove inflation even higher, particularly for energy and agricultural commodities. but domestic forces have increasingly contributed to inflationary pressures. the canadian economy began overheating as the economy fully reopened. people still wanted to buy goods, and demand for services soared as households tried to catch up on the many services they had missed out on through the pandemic. employers could not find enough workers to keep up, and businesses were quick to pass on increased costs to consumers. the bank responded forcefully to these inflationary pressures, raising our policy interest rate quickly. we did this to rebalance the economy - to lower demand and give supply a chance to catch up. this tighter monetary policy is working. demand for goods is slowing because higher interest rates are restraining household spending. and the supply of goods is improving as global bottlenecks ease and lower energy prices reduce shipping

duvvuri subbarao : a revolution in monetary policy welcome remarks by dr duvvuri subbarao, governor of the reserve bank of india, at the 15th c d deshmukh memorial lecture on “ a revolution in monetary policy – lessons in the wake of the global financial crisis ” delivered by prof joseph stiglitz, mumbai, 3 january 2013. * * * 1. on behalf of the reserve bank of india, i have great pleasure in welcoming prof. joseph e. stiglitz, who will shortly be delivering the c. d. deshmukh memorial lecture. also, a warm welcome to mrs. anya stiglitz who has accompanied him. i am delighted to acknowledge the presence here of the family members of sir chintaman deshmukh – shri atul deshmukh, smt. sheetala deshmukh, and their children, ashish and priyanka, prof. sunita chitnis and her son dr. ajay chitnis. your presence here means a lot to us. finally, and importantly, a warm welcome to all our invitees to this prestigious lecture. c. d. deshmukh 2. sir chintaman d. deshmukh has a special place in the history of the reserve bank. he was the first indian governor of the reserve bank, and served the institution with great distinction and dignity from august 1943 to june 1949. he presided over the transformation of the reserve bank from a private shareholders ’ bank to a nationalised institution and was the intellectual force behind the enactment of a comprehensive legislation for the regulation of banking companies which has stood the test of time. governor deshmukh participated actively in the establishment of the bretton woods institutions in 1945 and played a critical role in managing india ’ s nascent economy as we confronted the challenges of war financing following the second world war. 3. after leaving the reserve bank, shri deshmukh went on to become the finance minister of india, a career graph repeated by our current prime minister, dr. manmohan singh nearly forty years later. shri deshmukh brought to the office of the finance minister a passion for newly independent india ’ s development and a humane and inclusive vision for nation building. by all accounts, sir chintaman deshmukh was one of the finest public policy intellectuals of post - independence india. 4. the reserve bank instituted the c. d. deshm