Central Bank forecasts ‘uneven’ road to lower inflation
Bank cautioned government against over-stimulating economy in October’s budget, warning curbing inflation will depend on containing domestic demand
The road to lower inflation is likely to be “gradual but uneven”, according to the latest forecast from the Central Bank of Ireland, which cautioned the government against “cross-purposing” domestic monetary policy with that of Europe.
In its third quarterly report of 2023, the bank issued a warning of the effects of over-stimulating the economy in October’s budget on curbing inflation.
The bank currently predicts an average inflationary rate of 5.4 per cent for this ...