before it reaches maximum effect than do changes in bank rate – part of the reason for focusing around two years ahead is that is judged to be the point at which policy has its maximum effect. this would reflect the early indications that one of the key channels through which this policy takes effect has proved to be an increase in asset prices, whereas for bank rate changes in the distribution of income plays a larger role. in addition, in the past three years cpi inflation has been above target for 27 out of 36 months, is now 3. 5 % and likely to remain above target for the first half of 2010. the reasons for this period of relatively high inflation are related in large part to external pressures from past exchange rate depreciation ( and the exchange rate has recently depreciated further ) and the rise in the oil price over the past year. some domestic inflationary pressures remain low, as indicated by the present low rate of increase in wages ( the latest data for average weekly earnings showed an annual increase of just 0. 8 % for total pay in the three months to december 2009 ). so looking beyond 2010, the latest inflation projection suggested there that inflation could be a little below target at the two - year horizon. however, the present above - target inflation background suggests little cause for anxiety about inflation expectations becoming deanchored on the downside, if the mpc were to suggest it might take a little longer to move the underlying inflation trend back to target. indeed, that might be one way to respond to the balance of risks the mpc faces, with inflation uncomfortably high in the short term, but medium - term prospects still likely to be on the downside. there are other arguments on both sides. the remit for the mpc invites us, subject to achieving the inflation target, to consider the government ’ s polices for growth and employment. in the present context, a strong argument for continuing to focus on the twoyear horizon is that would encourage policy to aim at a rate of growth in the short - term which would reduce the scale of excess capacity in the economy as fast as possible. robust growth now would also potentially have the benefit of reducing the likely erosion of the economy ’ s supply capacity – the more quickly growth is resumed, the less skills will be eroded and the capital stock effectively run down. the longer - term outlook for growth is therefore improved. this is indeed a powerful reason for continuing to focus on the two - year horizon, and one which seems to

and the undertakings, except micro - undertakings, which are listed on a regulated market in the eu. therefore, it is envisaged that for the financial years starting from 1 january 2026 small and medium - sized undertakings must also include in their reports information in compliance with the requirements laid down in the directive. some of these requirements are related to undertakings'regular reporting on their environmental protection activities and the impact of their business on society. our sustainability discussion should also touch on the larger topic of the completion of our country's integration into the large european family by the introduction of the euro in 1 / 2 bis - central bankers'speeches bulgaria. for me, as a specialist in the academic and financial spheres, it is of utmost importance to speak to you, the certified public accountants in bulgaria, about our progress on this topic as i highly value your expertise and experience, and i hope that, through you, the information on the various aspects of the preparations for the euro changeover will reach as many specialists as possible. in order to raise awareness of the euro topic, information materials with questions and answers on this issue have already been published on the websites of the bulgarian national bank and the ministry of finance. there you can find information on the euro area, the european central bank ( ecb ), the criteria for euro adoption and its benefits, as well as technical information on the exchange and conversion from levs to euro. a dedicated website on the euro is about to be put up, describing in details the benefits of the euro adoption, good practices and the experience of other countries that have introduced the euro, the currency exchange, the dual price display period, the security features of euro banknotes and euro coins, etc. the organisational, technical and regulatory activities related to the introduction of the euro are running in accordance with the national euro changeover plan of the republic of bulgaria. a draft law on the introduction of the euro has been prepared, which establishes the rules and procedures related to the euro adoption in bulgaria. this law stipulates that the conversion of accounts from levs to euro will be automatic and free of charge on the day of introduction of the euro in bulgaria. during the first month as of the date of the euro changeover, the lev and the euro will circulate simultaneously, both as legal tender. when this one - month period expires, the euro will become the sole currency of our country. full participation in the economic and monetary union