Treasury Strategies for Navigating Inflationary Pressures in the US Economy
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Rising inflation continues to reshape the financial landscape of the United States, placing unique pressures on corporate treasuries and financial institutions. As inflation erodes purchasing power and heightens market volatility, treasury functions play a critical role in safeguarding liquidity, managing debt obligations, and preserving enterprise value. This paper examines strategic approaches treasury professionals can deploy to navigate inflationary pressures, including dynamic cash flow forecasting, diversification of funding sources, prudent investment allocation, and the adoption of technology-driven treasury management systems. It also explores the importance of interest rate hedging, working capital optimization, and scenario planning in mitigating inflation-driven risks. By integrating these strategies, organizations can enhance financial resilience, maintain operational stability, and sustain long-term competitiveness in an unpredictable macroeconomic environment.