BoE's Weale says still worried about forward guidance
LONDON Oct 15 (Reuters) - Pledges by central banks to keep interest rates on hold for a long period risk pushing up inflation expectations, according to a policymaker at the Bank of England which recently adopted such a change.
Martin Weale, one of the nine members of the BoE's Monetary Policy Committee, told British lawmakers on Tuesday that so-called forward guidance programmes had to be designed carefully and he remained concerned about the policy framework.
Weale voted against the BoE's guidance plan when it was launched in August, saying he wanted a shorter time horizon for measuring whether inflation expectations were rising to the point where the pledge to keep interest rates on hold, until unemployment falls to 7 percent, should be scrapped.
- Flights delayed as air pollution hits record in Shanghai
- White House reverses, says Obama met uncle and lived with him during law school
- South Africa mourns Mandela, will bury him on December 15 |
- French launch Central African Republic mission but deaths mount
- Supreme Court to decide on patent protections for software