|Monetary Independence and Monetary Stability: Two Sides of the Same Coin|
|Jean-Pierre Roth, Chairman of the Governing Board of the Swiss National Bank|
|Febraban Brazilian Federation of Banks, Sao Paulo, 18.11.2004|
Switzerland has a long tradition of financial stability, which has helped shape its economic environment. But there can be no financial stability without monetary stability, and there can be no monetary stability without an independent central bank. The speech addresses the question of monetary independence and monetary stability from a Swiss perspective. Drawing on Switzerland’s experience, Jean-Pierre Roth discusses what the main characteristics of a successful and independent monetary policy should be. He also argues that fixing the exchange rate is neither a sufficient nor a necessary condition for monetary stability.