Monetary policy: Institutional and operational framework toward a forward-looking regime

Monetary policy at the BoA has evolved to approach itself in line with contemporary frameworks that meet most elements promoting efficiency and effectiveness. In this paper, we make an attempt to outline the introduction of new aspects as well as improvements to the current set up. In the past two years, The Bank of Albania has arranged two Forums, in December 2 005 and 2 006, in order to assess the conditions for a formal revision of its institutional and operational procedures of monetary policy. In addition, these Forums have contributed to escalate and institutionalize the BoA’s efforts to promote financial development and infrastructure as well as improve its operational and institutional framework for a more effective monetary policy. In this year’s meeting, we come up with an overall outline of the tasks completed, mostly proposed and elaborated in the last two forums, and a general assessment of the most required conditions towards a fully-fledged IT regime for Albania.