Bundesbank’s Nagel Warns Inflation Pressures to Persist Even After Iran War

Bundesbank President Joachim Nagel cautioned that high inflation may endure beyond a potential end to the conflict in Iran. He attributed the persistent pressure to structural disruptions in energy supply chains, reduced refinery capacity, and ongoing trade flow issues.

Nagel’s comments suggest that central banks should prepare for a prolonged period of elevated price increases, even as geopolitical tensions ease. The warning underscores the lingering impact of supply-side constraints on the global economy.