With Brexit settled and progress made on COVID-19, many of us would be forgiven for thinking the storm had passed. But then global supply chains fell victim to COVID-aggravated assault and, combined with a combustible mix of other factors, inflation, the beast that some legislators thought had been slayed forever, raised its head.
In this issue we have aimed to tackle the realities of inflation and what it will mean for those in the profession for whom this is new. A clear consensus is forming around the idea that inflation is here to stay – at least in the medium term. While it’s undeniable that many of the drivers of rising prices across the world have been accelerated by COVID-19, a significant structural rebalancing of the global economy is taking shape. As 2021 unfolded we saw just how powerful the combination of fiscal stimulus and monetary easing could be in terms of economic stimulus.
What it means for treasurers remains to be seen. Certainly, the profession’s younger cohort will be tested in ways they haven’t been before. As one of our contributors points out in this issue, the days of rock-bottom rates and cheap money are over. Addressing the inflationary challenge will have treasurers once again demonstrating their worth to the business.
And it also provides me with an intriguing place to start as editor of The Treasurer. Stepping into Liz Loxton’s shoes is no easy task, but with so much going on, we won’t be short of topics to cover. Indeed, elsewhere in this issue we’ve looked ahead to a world where corporates begin to develop their own in-house financing operations; where global trade is finally freed from the blizzard of paper that swirled around even the smallest deal; and where LIBOR’s central place in our working lives begins to recede into memory.
We also have two reports from the recent ACT Working Capital Conference held in London in December. It was a memorable event both for the discussions that delivered the usual mix of enlightenment, and also for being the first live and in-person event since the onset of the pandemic. It was heartening to see a room full of treasury professionals together again.
And 2022 will hopefully be the year where we all venture out into the world again. The ACT Annual Conference will return to its Liverpool venue, while the Cash Management Conference takes place in London at the end of March.
I look forward to meeting many of you there.
Christian Doherty, Editor
thetreasurer@thinkpublishing.co.uk
Follow us on Twitter @thetreasurermag
PAUL GOLDEN
With inflation set to stay, how can treasurers adapt to a new set of challenges? Page 7
MATT PACKER
More corporates are adopting an embedded finance model - but will it deliver the benefits promised? Page 21
MARK ROWLAND
On why treasurers need to prioritise investment in the right IT skills. Page 35
