Senin, 10 April 2023

Poor growth will drive interest rates back to rock bottom, says IMF - The Times

Interest rates will return to rock bottom because of chronic poor growth across the rich world, the International Monetary Fund has said.

Mortgage holders can expect relief after months of rapidly rising rates but only because of low productivity and ageing populations, the Washington-based fund said.

A fall in borrowing costs before the election would be likely to give a short-term boost to Rishi Sunak, and will blunt Labour efforts to target Conservative voters with attacks on the “Tory mortgage premium” that followed the autumn’s disastrous Liz Truss mini-budget.

However, the underlying predictions of weak growth are not only a threat to the prime minister’s hopes of significant tax cuts but highlight the long-term challenges for both main parties in improving public services without further

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2023-04-10 17:45:00Z
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