IMF Chief Says Central Banks Should Weigh AI Growth Slowdown in Inflation Fight

Central banks should consider a possible slowdown in AI-driven growth when assessing measures to combat inflation, IMF chief Georgieva said, as concerns about AI investment and high asset valuations affect global markets.

Georgieva spoke at the International Monetary Fund’s headquarters in Washington on Nov. 7. She said worries about the economy’s dependence on the AI investment boom and elevated asset valuations were affecting markets worldwide.

Market swings are likely to continue, Georgieva said. She added that volatility makes central banks’ work more complex as risks to price stability increase.