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GCC using 'unorthodox' measures to curb inflation
- Thursday, May 22 - 2008 at 07:59
The current methods used by GCC governments to ease inflation are 'unorthodox', according to analysts invterviewed by Khaleej Times. GCC countries continue to avoid addressing soaring inflation via the key source — the dollar pegs — as they try to buy time in expectation of a comeback of the greenback or a turnaround in US Fed policy, analysts said. However, they warned that soaring inflation is presenting a key challenge to the region as oil windfalls continue to boost infrastructure spending.
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