Inflation report for December 2022

## Following the highs of 2022, inflation rates establish a downward trend The year 2022 was marked with rates of inflation many developed economies haven't experienced in more than a decade, prompting central banks to implement a tight monetary policy and progressively increase interest rates throughout the year to mitigate inflation. As a result, inflationary trends in several economies have begun to plateau and have exhibited a slowing trend over recent months. Reduced consumer demand, as evidenced in weaker retail sales, brought about by slower economic growth in recent quarters is contributing to the reduction in price growth. Inflation forecasts for the year ahead are optimistic, and price growth is expected to return to more moderate levels, but still remain eleveated by the end of 2023.