The governor says the Bank will only think again about its pro-growth stance if there is a threat of higher inflation or asset bubbles.
Mr. Kuebler said the New Jersey state government has taken a pro-growth stance with the industry as a whole with tax abatements and training credits and is competitive with other states in attracting and retaining companies in the industry.
The central bank, however, reiterated its concerns over a bloated fiscal and current account deficits, adding that its pro-growth stance would be conditioned by the management of the risks posed by them.
The governor said the Bank would only think again about its pro-growth stance if there was a threat of higher inflation or asset bubbles, but the City said the chances of the government's election plans being disrupted by a tightening of monetary policy were remote.
Despite the statements issued Wednesday, many private-sector economists believe China's decision on Dec. 5 to cut bank reserve requirements for the first time in three years was a tacit shift to a pro-growth policy stance.
Beijing's switch to a pro-growth policy stance since its "fine-tuning" program in the autumn of last year has seen it ease fiscal and monetary policies, speeding infrastructure spending and freeing an estimated 1.2 trillion renminbi, or $188 billion, for new lending through cuts to bank reserve requirements.
Re "German Growth Bolsters Its Stance on Recession" (front page, Aug. 14), about Germany's remarkable recovery in the midst of global recession: German capitalism is an almost entirely different creature from the one that American workers have to contend with.
In the two-day investiture debate, Mr. Aznar, 47, promised more reforms to maintain economic growth and a firm stance against armed Basque separatists.
He supports higher taxes on the wealthy and an emphasis on growth over austerity, a stance that could create fractures with Germany while rattling financial markets.
Vincenzo Raimo, pro vice-chancellor of the University of Reading, highlights the contradiction between the government's long-term plan for economic growth and its tough stance on immigration.
