The notable and credible research platform also said that slower global economic growth and consequently weaker demand in large part help to cap the inflation growth.
“For example, China’s construction sector accounted for 12 per cent of global spending on metal products while China’s electronic components industry consumed nine per cent of the global hi-tech goods in 2021,” the report stated. Moreso, it stipulated that high savings accumulated during the COVID-19 pandemic helped temporarily to cushion inflationary effects and support spending growth, an effect it presumes will continue to wane as consumers face rising costs of essential goods.
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