Monetary Policy Report – March 2022

The Russia-Ukraine war has heightened uncertainty in the global outlook, aggravated the COVID-related supply bottlenecks, triggered higher crude oil prices, and elevated inflation expectations, compounding the already high global inflationary pressures. Global financing conditions have tightened as key central banks raised policy rates to counter rising inflation. The combined effects of these developments could lead to further downgrades in global growth projections, increase investors uncertainty, and lead to capital outflows from emerging and frontier economies with weak fundamentals.