- Even without rate hike in August, rates were sufficient to return inflation to target
- I saw a case for tightening until there was clear data that we had done enough
- There is a risk that very high headline inflation could feed wage-price dynamics
- A more gradual pace of tightening reduces risk of overshooting
- We should be going slowly when there is a lot of uncertainty
- I will consider further rate hikes until we have clear evidence of impact on inflation
If you must note, she was a dissenter in last month's policy decision in the sense that she voted for a 25 bps rate hike instead of the majority vote for a 50 bps rate hike at the time. So, she's very much just justifying her decision but it will be interesting to see if other policymakers will share the same view in the months ahead.