US Treasury’s Yellen Tells G7 to Keep Spending, Says Inflation Will Pass

U.S. Treasury Secretary Janet Yellen speaks during a news conference, after attending the G7 finance ministers meeting, at Winfield House in London, Britain, on June 5, 2021. Justin Tallis/Pool via Reuters

LONDON/WASHINGTON—U.S. Treasury Secretary Janet Yellen urged other rich nations on Saturday to keep up spending to support their economies even as the COVID-19 pandemic wanes, and said U.S. inflation this year would be elevated but transitory.

Yellen told a news conference after G7 finance ministers met in London that they needed to invest in a fight against climate change and inequality, even after putting their economies “back on track” from the enormous hit of the pandemic.