(Reuters] -Central banks from different countries can share information and might adopt the same policies for common global shocks. But explicit coordination will likely cause more harm than good. Federal Reserve Vice Chair Richard Clarida stated Friday.

In remarks that were prepared to be delivered at the 2021 Asia Economic Policy Conference, he stated: “Adopting global monetary policy cooperation formal could plausibly undermine central bank credibility and support for central banks independence.”

Clarida’s speech did not address the central question of the day, whether the Fed should increase interest rates to combat high inflation faster than its suggestions and like Fed Governor Christopher Waller insisted it to do on Friday.

However, his opinions may provide insight into the Fed’s thinking on U.S. policy, given other central banks such as the Bank of England signalling they are soon raising rates.

Clarida said that each central bank should be his. However, sometimes their actions will look coordinated simply because they experience similar pressures.

He said that each central bank is given a different mandate. Therefore, it would be hard to define common goals.

Even if they could agree on shared targets, he said that “central banks would not be able to keep credibility and independent as well communicate aggressive home rate increases, not because of home inflation being too high but rather because foreign inflation has!”

Clarida pointed out that central banks can be affected by each other’s policy decisions. This means that U.S. monetary policy changes have an impact on foreign economies as well. Monetary policy shifts made in other countries also affect U.S. economics and may even lead to a Fed response.

As an example, he cited China’s currency decline in 2015 as well as the delays it caused for the Fed to hike rates.