IMF Urges Asia's Central Banks to Avoid Closely Tracking Fed.

The International Monetary Fund (IMF) has advised Asian central banks to focus on domestic inflation and not rely too heavily on the actions of the US Federal Reserve when making their own policy decisions. The IMF warns that closely tracking the Fed could undermine price stability in Asian countries. While US monetary policy does have a significant impact on Asian financial conditions and exchange rates, each Asian central bank should handle their own price dynamics based on their specific circumstances. The strong US economy and persistent inflation have raised concerns about the weakness of Asian currencies. [Extracted from the article]