The Decline of Central Banks' Role in the Global Economy

Central banks are witnessing a decline in their role in global economic policies, as governments impose more pressure and their influence increases, especially after changes in American policy.


The Decline of Central Banks' Role in the Global Economy

Central banks have always been key players in the global economy and financial markets, however today they are taking a back seat due to increased pressure from governments and the shift to a supportive role. Global trade wars, initiated by the administration of Donald Trump, and the collapse of long-term political and military alliances have led to changes in Germany's and Europe's financial policy, while also stimulating China to strengthen its economic activity.

Just over the past week, the new American administration began dramatically reshaping the global economic environment, reversing expectations and the flow of investments across borders worldwide.