Necessary investment remains low and inflationary risks
continue to prevent this.
Kazakhstan is spending billions of dollars of its reserves to keep devaluation of its currency gradual and reduce inflationary risks
of the sort thrown up in Russia by the rouble's slide, Reuters reported citing analysts and former Kazakh central bank officials.
The Russian central bank sharply increased the interest rates to arrest the depreciating rouble and guard against inflationary risks
in the economy.
Bank of Russia's board of directors took into consideration the increase in inflationary risks
before the rate move was announced.
Purchasing managers indexes are already pointing to underlying inflationary risks
as rising input costs last month, thanks to higher raw material prices and wage increases, forced firms to pass on them to their clients.
In the last policy meeting, before the local issues unfolded, they said: 'The committee assessed that the current stance of the monetary policy is appropriate to contain inflationary risks
With inflationary risks
skewed on the upside in our view, we believe that these bonds offer substantially better value than nominal bonds.
Commodities, in general, are a hedge against the inflationary risks
of current monetary policies such as QE.
monetary policy on Friday, amid calls by hawkish members of the central bank's policy committee for a quick rise in interest rates due to tightening labor markets and inflationary risks
That came a week after he had re-affirmed the bank's stance that tight monetary policy would remain in effect in order to maintain a stable currency and reduce inflationary risks
But gold may draw investors back over the longer term as a reflationary policy raises future inflationary risks
Contrary to what many investors in the financial markets expect, Asian monetary policy in 2012 will not look like that of 2009 because there are still some significant inflationary risks
ahead due to the West's loose monetary actions, according to KCIC.