HomeEconomyInflation: no normalization "before the end of 2024" according to IMF chief...

Inflation: no normalization “before the end of 2024” according to IMF chief economist

Invited this Tuesday night at BFM Business, the IMF’s chief economist returned to the latest economic forecasts of the international institution.

The IMF does not foresee a normalization of inflation before 2025. The international institution published its latest economic forecasts on Tuesday, counting on inflation of 5.3% for the euro zone or 4.6% for the United States. Still far from the 2% target set by the main central banks.

Price-wage loop

The IMF chief economist indicated that he was not concerned about a possible inflationary cycle linked to a recovery in wages, adding that the IMF was rather “optimistic” on this issue. “We saw a very strong price increase in 2022”, but “wages did not increase in the same proportions”, said Pierre-Olivier Gourinchas

In addition, he continued, “the labor market is doing quite well” and “we can expect this recovery in wages to take place without necessarily producing a second wave of inflation.”

Author: bruno jeremy
Source: BFM TV

Stay Connected
16,985FansLike
2,458FollowersFollow
61,453SubscribersSubscribe
Must Read
Related News

LEAVE A REPLY

Please enter your comment!
Please enter your name here