In addition, a sharp drop in sterling can be expected to lead to a rise in imported inflation that will offset any weakness in domestic inflation, at least in the short term. (lawyer-monthly.com)
It has had a positive impact on exports, but it tends to import inflation too. (conservativehome.blogs.com)
For example, the double - digit inflation of the 1970's was caused by banks keeping interest rates low in an attempt to stimulate a weak economy, at a time when imported inflation from the oil shock was high (leading to stagflation). (retailinvestor.org)