22. Currency Chaos: Cost of living crisis gets worse as US dollar surges

This episode of the Weekly Tradecast talks to UNCTAD senior economist Penelope Hawkins about the sharp rise of the US dollar – and its effects on economies and people.

With inflation soaring, the rapid rises in United States interest rates and a healthy US economy have prompted investors to flood to the dollar as a safe place in times of trouble.  As the dollar surges in value, other currencies are being pushed to weaker lows. 

Many developing countries are even worse off as they find it harder to borrow and struggle with mountains of debt. With uncertainty running high, weaker currencies make food and other imports even more expensive during the global cost-of-living crisis.  

Will this raise the risk of investors pulling money and what does it mean for countries that rely on funding for development? Tune in to UNCTAD’s Penelope Hawkins to find out.