Central Banks Struggle as AI Boom Clouds Economic Signals, BIS Study Finds

Artificial intelligence is simultaneously boosting economic demand while raising productivity, blurring the inflation and growth signals that central banks rely on to set interest rates, according to a Bank for International Settlements analysis released in July 2026. The BIS study, authored by researchers Iñaki Aldasoro, Leonardo Gambacorta, Enisse Kharroubi, and Matthias Rottner, argues that the AI investment surge creates a fundamental diagnostic problem: traditional economic indicators no longer reliably distinguish between temporary demand pressures and structural improvements in productive capacity.