'Stagflation' making a comeback
Source: Middle East Insurance Review | Jun 2022
In a new report, Swiss Re Institute forecasts a stagflation-like economic environment for 2022 and 2023, characterised by higher inflation and lower real GDP growth. Unlike the structural stagflation of the 1970s, this stagflation will be cyclical, with the slowdown in economic growth leading to lower but still very high inflation in 2023. For the insurance industry, claims inflation is expected to affect non-life insurers’ profitability in 2022, leading to further market hardening in 2023.
Archived articles are available to Magazine subscribers only.
For Full Access to
the magazine
SUBSCRIBE here.