Global economy at 'critical juncture' in fight against inflation

Bank for International Settlements

The global economy is at a “critical and perilous juncture” in the fight against inflation, said the Bank for International Settlements, the global central bank umbrella body.

In the organisation's annual economic report, the BIS warned the "unique constellation of challenges" that central banks are facing risked pushing the world into a permanent high inflationary trap. "The insidious damage that a high-inflation regime does to the economic and social fabric is well known," the report said. "The longer inflation is allowed to persist, the greater the likelihood that it becomes entrenched and the bigger the costs of quenching it." Andrew Bailey: 'We are not desiring a recession but we will do what is necessary to bring inflation down' While headli...