However, given the low interest rate starting levels, some major central banks have had to implement negative interest rates and/or directly buy assets (increasing their balance sheets) so as to free up cash for the economy. Understanding why inflationary pressures have eased so much is important as it helps us to calibrate our policy actions.
As is often the case, there appear to be many reasons which we must balance. The low inflation pressures are in part due to the slowdown in global economic growth, a regular cyclical event that central banks are well practiced in responding to. But there are also structural factors dampening inflation pressure and/or altering the impact of lower interest rates on investment and spending.