Dmytro Kharkov

Central banks raise interest rates to stabilize amid government clashes, Daniela Gabor notes

Central banks raise interest rates to stabilize amid government clashes, Daniela Gabor notes
Central banks and government conflicts rise

Daniela Gabor addresses current dynamics in a post-liberal world, highlighting rising tensions between governments facing supply shocks and independent central banks.

According to Gabor, central banks respond to these economic challenges mainly through increasing interest rates in efforts to stabilize conditions.

Gabor has previously called central bank independence unsuitable in the context of current geopolitical tensions such as petrowars and changing global power balances, according to her recent analysis. She also noted that use of tools like ChatGPT to summarise the Draghi Report could advance deregulation benefiting U.S. Big Tech and finance, as outlined in a separate commentary. Both positions highlight her continued focus on the intersection of policy, technology, and financial governance.

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