EFTA Document EFTA01458965

8 December 2015 World Outlook 2016: Managing with less liquidity After remaining within a narrow band (0.Ipp) of zero for most of this year, inflation looks set to rise with base effects likely to add 0.6-0 7% by February. We expect CPI to average 1.1% in 2016 but it will probably still be shy of 1% at the time of the May inflation report. Evidence of rising inflation will be important to the BoE when it comes to deciding to tighten policy, as will improved prospects for wages and economi