In some countries, however, there are signs of economic slowdowns due to monetary tightening aimed to counter inflationary pressures, and production has been sluggish due to supply shortages of parts following the earthquake in Japan.
As for the outlook, the global economy is expected to stay on a recovery trend; however, the degree of uncertainty remains high because of risk factors such as a further deterioration in the fiscal conditions in some peripheral European countries, an overheating of emerging and commodity-exporting economies, and a surge in international commodity prices. 2  BIS central bankers’ speeches  B.