BoE's Bailey: Price pressures remain elevated

EPA-EFE/ANDY RAIN

Bank of England Governor Andrew Bailey underscored on Monday that the price pressures in Britain remain "elevated," arguing that the "path of inflation" will not be "smooth."

The central bank's governor cautioned that any sign of persistant inflationary pressures could require additional monetary tightening and highlighted the policymakers' determination to bring inflation down to its 2% objective.

"We have to recognise that the full effect of the higher level of Bank Rate is still to work its way through financial markets and the real economy," Bailey said, expressing optimism that the inflation rate in the country could drop sharply this year. Last week, the central bank hiked its interest rates to 4.25%.

Baha Breaking News (BBN) / AB