Supply restrictions will last at least until 2023

Maurice Levy of Publicis said that the supply chain pressures hitting the global economy may last for at least a year.

Levy, chairman of the board of advertising giant Publicis Group, told CNBC’s Karen Tso at the Women’s Forum on Friday that rising inflation is the result of scarcity in the supply chain.

“This is also the fact that we are turning to green energy. We are turning to a green world. It is very difficult for us to bring this new energy to the level of the old world,” he added.

“This causes prices to rise and affects the purchasing power of customers.”

Economies all over the world are facing Shortage of goods and labor, While European gas prices Soaring to an all-time high In recent months, due to increased demand, extreme weather and low inventory.

Levi stated that he believes the current inflation and supply problems reflect a transition period and is expected to “return to normal in 2023.” [or] 2024. “

“I don’t believe this is the right approach [to raise interest rates right now],” he told CNBC, and acknowledged that many market observers are questioning how to control inflation.

The world is witnessing a surge in inflation.

U.S. Consumer Price Index October increased by 6.2% year-on-year, Marking the biggest increase in more than 30 years.

Wednesday, November 3, 2021, at the Port of Charleston in Charleston, South Carolina, USA.

Sam Wolfe | Bloomberg | Getty Images

On the other side of the Atlantic, the Eurozone’s October inflation increased by 4.1% year-on-year, more than double the European Central Bank’s target. In the UK, the CPI rose 4.2% in the 12 months to October, up from 3.1% in the previous month.

Jeremy Siegel, Professor of Finance, Wharton School of Business Tell CNBC last week The market distance correction and “worse inflation report”.

At the same time, Mohamed El-Erian, the chief economic adviser of Allianz, Tell Dan Murphy of CNBC Earlier this month, the Fed lost its credibility due to its stance on inflation.

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