Oct 13, 2022 1:25:59 PM
How each of the central banks has tackled inflation
As we know, interest rates are a key tool for central bank monetary policy, with higher rates intended to increase borrowing costs and slow the rate at which prices are rising, likewise lower interest rates seek to encourage borrowing and stimulate economic growth.
With inflation measures continually producing high readings, many market participants and financial commentators have called on central banks to take measures to slow down inflation.
But despite the world’s major central banks all experiencing similar levels of inflation – well above the 2% target – each one has taken a markedly different approach to attempting to restore price stability.