However, the inflation rate is projected to decelerate gradually from the beginning of next year and fall below 2 percent in 2023. II. Risks to the Outlook That said, uncertainties surrounding the outlook for the global economy are extremely high. I would like to point out three factors. The first is developments in global economic activity and prices.
While inflationary pressure remains high globally, central banks have raised policy interest rates rapidly and moved to tighten monetary policy. Central banks are projected to continue tightening their monetary policies for the time being, such as by reducing monetary accommodation. As a result, inflation rates around the world are expected to decline gradually, and the global economy will continue to grow moderately.