Strong economic growth raises inflation concerns for Fed official Bostic
Atlanta Fed President Raphael Bostic warned that strong GDP growth may keep inflation high. He argued for maintaining tight policy to reach the 2% target.
Atlanta Federal Reserve President Raphael Bostic stated on February 20, 2026, that reported full-year GDP growth of 2.2% in the US
US is high enough to raise concerns about persistent inflation. Bostic noted that this level of growth likely requires keeping interest rates high to maintain downward pressure on prices, as the figure exceeds his estimate of the economy's underlying potential of approximately 1.8%.
The Federal Reserve official explained that with inflation currently remaining near 3%, which is above the central bank's 2% target, tighter monetary policy may still be needed to hold back the economy. This assessment is of significant national relevance, as it directly informs near-term Fed rate decisions and the broader outlook for the U.S. economy.











