world-economy

Central Banks Worldwide Signal Prolonged Fight Against Stubborn Inflation

Central banks across multiple regions are bracing for a longer-than-expected inflation battle. Policymakers are signaling reluctance to cut interest rates as quickly as previously anticipated. New Zealand's Reserve Bank warned Tuesday that price pressures may persist beyond current forecasts, leaving rate-increase options on the table. Similar caution is emerging globally. Ethiopia's central bank lifted its benchmark rate for the first time in two years, while Nigeria's monetary authority indicated its easing cycle will proceed gradually as inflation expectations remain unanchored. India's inflation accelerated last month, surpassing the Reserve Bank's target for the first time in 17 months. The sustained price pressures are forcing policymakers to adopt a more conservative approach, prioritizing inflation control over economic stimulus.