A United Nations agency is blaming rapid interest rate increases and fiscal tightening in advanced economies for global stagnation as well as giving rise to economic volatility in developing countries.
“In a decade of ultra-low interest rates, central banks consistently fell short of inflation targets and failed to generate healthier economic growth. Any belief that they will be able to bring down prices by relying on higher interest rates without generating a recession is, the report suggests, an imprudent gamble,” the United Nations Conference on Trade and Development (UNCTAD) said in a press release on Monday.
