1 Inflation is high in the United States and around the world reflecting the lingering imbalance between robust demand and constrained supply caused by the pandemic and Russia’s war against Ukraine.
This scepticism means that the banks have to hold more capital than would otherwise be needed, in order to convince international lenders of their solidity under all circumstances. This is being done as part of the EU-IMF Programme designed to restore market confidence to Ireland, and in particular to its Government finances and to its banks.