1/5  BIS - Central bankers' speeches  However, even before the Russian invasion of Ukraine there were signs that it will take longer for inflation to moderate than projected last year. The war and anti-Russia sanctions on top of new waves of COVID infections exacerbated global supply constraints.
This caused the euro area and global inflation to surge further, and accelerated the process of winding down of the historic monetary stimulus globally. In turn, the worry arose whether all these developments could tip our economies into a recession, as shown – for example – by the rising number of Google searches for the word "recession".