International Monetary Fund (IMF) chief Kristalina Georgieva said on Friday that U.S. interest rates will likely need to remain higher for longer to tame inflation, forecasting that the federal funds rate will peak at 5.4 per cent in 2023 and ease to 4.9 per cent in 2024. “Inflation remains stubbornly high,” Georgieva said. “It’s telling us the job is not quite yet done.”
- Interest rates, inflation will mar global economic recovery: OECD
- Surge in U.S. spending could force Fed off ‘pause’ in rate hikes