Renewables are not going to solve the global energy issues anytime soon, and the current volatility in the oil market is likely to keep prices elevated for some time, an expert said.
“Rising energy prices means rising inflation. With the unfortunate war in Ukraine and disruptions in the flow of oil and gas, inflation will remain a major concern,” Kim Fournais, the founder and CEO of Saxo Bank, told Khaleej Times in an interview.
As central bankers around the world seem settled on a ‘higher for longer’ policy on rates, Fournais believes the origins of the current crisis goes right back to the 1970s and 1980s, which was the last big era of inflation. “At Saxo Bank, we foresaw inflation concerns in early 2021, a conversation few engaged in, including central bankers. The journey from rising interest rates pre-2008 to their fall during the global crises, with occasional dives into negative territory, was unprecedented. Modern monetary theories, advocating continuous debt and…
