The short-term cyclical growth in inflation after the downturn of the economy and resources in 2020 is currently logical, and a temporary growth in inflation was also seen after the 2008-2009 financial crisis. However, the issue is whether this will be followed by a more long-term increase in inflation, or whether the global economy will continue its normal low period of inflation. The largest factor in favour of higher inflation is certainly the more extensive monetary and fiscal stimulus measures which continue. As a result of this, US money supply (M3) grew last year by around 25%, which is the fastest increase since the Second World War, while money supply in the Eurozone grew by around 10%, which is the fastest increase since 2008. Inflation of consumer prices are currently unaffected, because the speed of cash circulation has slowed down, meaning that the money is stored in the financial system. The amount deposited by Latvian households last year increased by 12%, which is the fastest deposit rate since the introduction of the Euro. It is not difficult to imagine a situation in which this money flows into the real economy after COVID-19 restrictions are lifted, particularly if consumer worries over inflation continue to increase in parallel. At the same time, of course, we cannot forget that, even after the record-low interest rates of the 2008-2009 economic crisis, the purchase of financial assets by central banks and significant fiscal deficits created worries over inflation which did not come to pass. Furthermore, structural factors impacting inflation, such as aging Western societies and a low birth rate, as well as the globalisation of the manufacturing system, have not changed due to the COVID-19 crisis. This leads to caution when forecasting a swift increase in inflation this time, but inflation will be an issue for macroeconomic policy in the next few years.