Why are interest rates still so high globally?

Interest rates are still high because money is like a toy that everyone wants to play with at the same time.

Imagine you have a piggy bank where you save your allowance. When you want to buy something, you can borrow money from the bank, but they charge you a little extra for letting you use their money. That extra is called an interest rate.

Now imagine all your friends also want to borrow money at the same time. The bank says, "We're popular! We'll charge a bit more." So the interest rates go up.

This is what's happening in the real world: banks and governments are like your piggy bank, and they’ve been charging more because lots of people, including big companies and countries, want to borrow money at once. This makes it harder for you or your friends to save or buy things easily, but that’s why interest rates are still high.

Banks also want to keep their toy (money) popular. If they lower the price too much, people might not want to borrow from them anymore. So they keep the interest rates a bit high so everyone knows it's still fun to play with their money, even if it costs a little more.