The bank’s worst-case scenario is that rate may hit 4.2pc
The Central Bank of Ireland. Photo: Getty
The Central Bank (CBI) has revised up its forecast for inflation this year to 2.9pc, due to the higher oil and gas prices that are being driven by the ongoing war in the Middle East.
A more severe energy shock scenario could see inflation going over 4pc this year, it says, and Modified Domestic Demand (MDD) reducing to just above 2pc.
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