The last decade-and-a-half has been hectic for economic policy-makers. They have had to cope with a global financial crisis, a worldwide pandemic and now a generalised burst of inflation combined with a European war. By responding sequentially, policy-makers risk missing the forest for the trees. A gestalt switch is needed that recognises that the evidence points to a major rise in instability. Restraint may not be a welcome message in a world with so many unknown unknowns. But facing entrenched economic instability, it just may be the correct one.
More renminbi depreciation possible By Mark Sobel Since mid-April, the renminbi has fallen sharply against the dollar. This depreciation has raised questions over whether China is seeking to gain a trade advantage. A more relevant question is whether prolonged capital outflow could be triggered.
Main risk to recession comes from loose ECB policy By Jacques de Larosière Reasons for the ECB to raise interest rates now to counter rising inflation are overwhelming. The arguments against prompt action are largely invalid. The chief risk of recession comes not from raising rates but from maintaining present extremely loose policies.
MEETINGS Financing sustainable development in Egypt Thursday 12 May, Roundtable Egypt has embarked on a sustainable development strategy. This roundtable discusses ‘Sustainable Development Strategy: Egypt Vision 2030’, which prioritises the transition to a green economy and the role Egypt can play with COP27 on the horizon.
ON DEMAND In conversation with Øystein Olsen Øystein Olsen, former governor of Norges Bank, speaks to David Marsh, OMFIF chairman, about the lessons he has learned over four decades in public service, including in helping to steer the world’s largest sovereign fund. Olsen, a veteran energy economist, has become a member of the OMFIF advisory council.
Sustainable Policy Institute Journal, Spring 2022 This edition of the SPI journal examines the future of energy, discussing how energy security and renewables are interlinked and exploring how the Ukraine crisis could lead to faster decarbonisation in the mid to long term.
