BIS backs 'strong' rate hikes despite rising recession risk

by Mark Jones

LONDON (Reuters) – The Bank for International Settlements (BIS), the umbrella body of the world’s central banks, has urged major Economies continue to aggressively raise interest rates volatile. The Swiss-based BIS quarterly report acknowledges that both recession and debt risks are on the rise, but says let the surge A pullback in global inflation remains critical. “It’s important to act promptly and forcefully,” said Claudio Borio, head of the Bank for International Settlements’ monetary and economics department. “Pre-missions (of rate hikes) tend to reduce the likelihood of a hard landing.” This week hopefully again The Federal Reserve’s drastic move this year, along with Russia’s invasion of Ukraine, has sparked widespread financial market turmoil. When asked if it was possible for central banks to go too far, Borio said, “One billion, 3 billion, no matter how many billion you want, the dollar question.” , he added, complicating matters particularly, this is the first attempt by policymakers since at least World War II that the debt crisis has erupted and The overpriced housing market comes amid serious concerns about coping with soaring inflation.