With consumer prices going through the roof almost everywhere, central banks are taking certain measures to control them.

Is there something you can learn from central banks about protecting yourself from inflation?

The answer is yes, quite a few things.

Let’s see what they are.

How do central banks protect against inflation in Europe?

Central banks basically do two things:

1. They raise interest rates: when inflation is too high, central banks increase interest rates to slow the economy and bring inflation down.
2. They buy gold: according to a new survey, central banks will continue buying gold in 2022 amid growing concerns about a possible global financial crisis.

As you will see below, that’s exactly what Europe’s central banks have been doing so far.