Monetary policy under the financial and economic programs:a brief note on the conduct of monetary policy for macroeconomic stability, 1994–2000
Abstract
[Introduction]: This paper explains how the central bank conducted monetary policy with the objective of achieving price and exchange rate stability in Papua New Guinea between 1994 and 2000, the period of the financial, economic and structural adjustment programs. In this context, sustaining macroeconomic stability is taken to mean achieving and maintaining low inflation and a competitive kina exchange rate. The discussion is brief, and some matters will not be discussed, as the paper is not intended to be highly technical.