Structural Shifts Demand New Central Bank Mindset

While the primary objective of most central banks — maintaining price stability — remains unchanged, the post-pandemic economic landscape has evolved in ways that require policymakers to rethink how monetary policy is designed and implemented. The relatively stable economic environment of the past few decades has come to an end. We have now entered a period characterized by profound structural changes driven by geopolitical fragmentation, technological innovation, demographic shifts and climate change. Furthermore, supply shocks have become more frequent and more persistent since 2020. Read Full Article »