VOSZ: High inflation will not return even with lower interest rates!

By: Trademagazin Date: 2024. 02. 15. 11:57

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As we reported, the economy suffers from the high level of interest, as it means unrecoverable interest costs. Our analyzes show that a more serious interest rate reduction would be necessary, which would be good for entrepreneurs and employees alike, and that inflation would not return either!

Inflation in our country is still in “free fall”: it has already dropped from a level of over 25% at the beginning of last year to 3.8%. The trend of price growth is thus still not a cause for concern either here in our region or compared to EU data. With the help of our partner, the Equilibrium Institute, we investigated whether the economy could withstand a larger interest rate cut without the return of high inflation. As we show, the interest rate reduction would really benefit the economy!