Forecasting in Australia

Christopher Kent, Assistant Governor of the Reserve Bank of Australia, in a speech on economic forecasting at Australia's central bank:

The Pagan-Wilcox Review was a comprehensive health check of our forecasting approach. While the Review confirmed that our methods are fundamentally sound, it provided a number of valuable suggestions for how we could improve the way we forecast. We have already responded to many of the suggestions and are in the process of following up on others. While these changes are unlikely to see much of an improvement in forecast accuracy, they have the potential to enhance the role that forecasting plays in the policy process and facilitate the usefulness of the forecasts as an important tool of communication.

Nice overview of RBA's forecasting practices. Not only the forecasts themselves, but more importantly the talk accompanying their release, play an irreplaceable role in modern central bank communications.