A inflation could become more resilient in some parts of the world if supply chain disruptions continue or if inflation expectations become daunting, said the International Monetary Fund (IMF) this Thursday (18th).
US USA, the world’s largest economy, inflation is expected to decline in 2022, but officials need to remain vigilant given the risks of rising prices, IMF spokesman Gerry Rice said at a regular briefing.
“Continuing levels of high inflation in the United States may require an earlier (monetary) policy response, which may impose systemic downward pressure on the global and US economy,” he said.
Rice said inflation expectations are generally anchored in most economies, adding: “But if supply problems continue or if inflation expectations become unanchored, inflation could become more resilient.”
He said that central banks need to “remain vigilant regarding inflationary pressures and that the IMF is working on monetary and fiscal policy scenarios, including the contagion in emerging economies from monetary tightening in advanced economies.
Rice pointed out that natural gas prices have risen to record levels in some places around the world, but the IMF expects energy prices to return to more normal levels over the next year, as demand for heating declines and supply adjusts. .
Reference: CNN Brasil
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