BIS Warns of Market Instability Due to Rising Global Debt

Central banks urged to maintain high interest rates as government debt levels threaten economic stability

The Bank for International Settlements (BIS) highlights the risk of sudden market confidence loss in heavily indebted nations.
BIS advises against premature easing of monetary policies to avoid reigniting inflation.
Global government debt has reached record levels, with major elections adding to financial market uncertainties.
Central banks praised for controlling inflation but cautioned to remain vigilant against potential price increases.
BIS stresses the need for fiscal consolidation to relieve inflation pressure and ensure long-term financial stability.