Central Bank Urges Long-Term Policy Commitments to Stabilize Expectations and Avoid U-Turns
The report, attributed to Jin10, notes that medium- and long-term policy commitments are more effective at stabilizing expectations than short-term fixes.
It urges countries to adopt clear medium- and long-term policy plans, commit to them publicly, and implement them with consistency while avoiding policy U-turns.
The bank cautions that resolving global structural economic challenges within one to two years is unrealistic, and abrupt shifts in policy can backfire.
As an illustration, it points to a global tariff dispute in 2025, which led to front-loading of imports, widened imbalances, and slower global economic growth.


