Currency depreciation will contribute to inflationary pressure.

Name: Currency depreciation will contribute to inflationary pressure.
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Question

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When a currency depreciates, the value of the currency decreases relative to other currencies. This makes imports more expensive, which can lead to inflation as businesses may pass on the higher costs to consumers. In addition, a weaker currency can lead to higher prices for commodities such as oil, which can also contribute to inflationary pressure.

Currency Depreciation Will Contribute to Inflationary Pressure