Monetary Policy Report for the first quarter of 2009

Economic and financial events at home continue to occur amidst an unstable external setting. On a global level, the advanced and emerging and developing economies remain highly uncertain both in terms of crisis duration and extension of its negative impact. The tight financial situation and the reduced agents’ confidence brought about the substantial fall of aggregate demand and slump in economic activity. Consequently, imports and exports fell in all economies and foreign investments reduced owing to the tightened lending conditions by the financial institutions.