What do higher interest rates mean for you?

Опубликовано: 09 Май 2022
на канале: CNBC International
173,603
2.5k

An entire generation of people is experiencing higher interest rates for the first time in their adult lives.

Interest rates have been at historic lows since the global financial crisis in 2008 — but they’re beginning to creep up.

As the pandemic devastated markets and slowed economic growth, many central banks made aggressive interest rate cuts. That lowered the cost of taking loans, which in turn spurred consumer spending and encouraged big credit purchases.

But now, with demand recovering and supply chains affected by the pandemic and the Ukraine war, inflation has gone up.

“There is no other way to end this inflation, given the supply chain disruption in the background, besides demand destruction,” Lee Boon Keng, director of the Centre for Applied Financial Education at Singapore’s Nanyang Technological University, told CNBC in an interview.

“And demand destruction can only be achieved by very, very tight monetary policy. That includes high interest rates.”

Watch our video to find out what rising interest rates would mean for your money.

#CNBC #InterestRates #Inflation #CentralBanks
-----

Subscribe: http://cnb.cx/2wuoARM

CNBC International TV: https://cnb.cx/2NGytpz

Facebook:
  / cnbcinternational  

Instagram:
  / cnbcinternational  

Twitter:
  / cnbci  


Смотрите видео What do higher interest rates mean for you? онлайн без регистрации, длительностью часов минут секунд в хорошем качестве. Это видео добавил пользователь CNBC International 09 Май 2022, не забудьте поделиться им ссылкой с друзьями и знакомыми, на нашем сайте его посмотрели 173,603 раз и оно понравилось 2.5 тысяч людям.