IMF warns Bank of England of slowdown in interest rate hikes

The International Monetary Fund urged the Bank of England today to avoid complacency when it comes to raising interest rates as British inflation is expected to reach a 30-year high at around 5.5%, and the Bank of England said rates will need to rise to ensure consumer price inflation returns to its target of 2 % in the next two years. The International Monetary Fund confirmed that Britain recovered more strongly than expected from the epidemic, but the Omicron variable is likely to cause a moderate slowdown over the next three months, and the International Monetary Fund expects that the British economy will grow by 6.8% this year and by 5.0% in 2022. IMF Managing Director Kristalina Georgieva told reporters that Omicron could exacerbate inflationary pressures in supply chains, but a return to the severe shutdowns seen last year seemed unlikely.