The World Bank has warned that the threat of a global recession is growing as central banks focus on bringing down soaring inflation rates, calling on governments to help boost supply to ease the constraints behind rising prices. Major central banks have responded forcefully, raising borrowing costs to cool demand and douse red-hot inflation. But in a new paper, World Bank economists warned that the actions may not be enough to bring high prices under control, leading to a need for more interest rate hikes, which in turn will put the brakes on growth.
