IMF Chief Economist Says Central Banks Should Focus on Price Stability

The Chief Economist of the International Monetary Fund, Gita Gopinath, stated that inflation risks remain, and monetary policy should continue to focus on maintaining price stability. Central banks need to maintain a sufficiently tight policy stance to bring inflation back to target levels and prevent second-round inflation effects. Gopinath pointed out that the transmission of rising commodity prices to core inflation is currently under control, but policymakers need to remain vigilant. If commodity prices and technology investment-related factors further increase inflationary pressures, central banks will need to tighten monetary policy further. While policy stances may differ across countries, the goal is the same: to ensure price stability, and the independence of central banks is crucial to achieving this objective.