opinion | What if rising interest rates were good news?

For a generation, interest rates had been on a downward trend to the point of becoming negative for the State and certain large corporations. Borrowers then repaid less than they had borrowed. For many, it was inconceivable, even irrational.

The reduction in rates guided by the central banks was intended to fight against deflation and promote economic growth. This development was never intended to be permanent. The so-called accommodative monetary policy, supposed to be temporary and exceptional, nevertheless took hold over time due to the persistence of low inflation between 2010 and 2019 and also out of ease.