2  Second, not only has inflation been subject to a downward trend, but also its inertia – or persistence – has increased since the crisis [Figure 2]. After having declined gradually between the mid-1980s and the early 2000s, inflation persistence is now back at its long-term average.
Should we expect banks’ profitability to reach their “sustainable” targets over the next 3-5 years? Even in a benign scenario of a robust economic recovery, this may not necessarily be the case.