NEW YORK (Reuters). -The Federal Reserve could raise interest rates 4 times this year. If supply chain and other factors that contribute to high inflation continue to be unaffected, Patrick Harker from Philadelphia Fed stated Tuesday.

Harker told Bloomberg TV that four 25-basis points increases in this year’s inflation are appropriate right now. He said that there is a lot at stake, including the possibility that inflation worsens than anticipated or slows down as Fed officials anticipate.

In an effort to end the financial accommodation used to stabilize markets during the pandemic and restore stability to the economy and markets, Fed policymakers plan to increase interest rates starting in March.

Harker was asked if he supported raising the interest rate by half a point in March. He said that he needed to convince him otherwise.

Harker, who votes this year for Boston Fed’s policy, stated that if inflation remains at its current level and starts to decline, then I don’t expect a 50-basis point increase. If we do see an increase in inflation then we will need to take more drastic measures.

From today’s low levels, he said that he wanted the Fed start to shrink its bond holdings after interest rates close to 1% and 1.25%.

Harker stated, “That decrease is going to be steeper than the last one we tried.”

Fed officials indicated last week that their goal was to decrease those holdings, primarily through the release of bonds from the balance sheet. Harker stated that he wouldn’t commit to selling assets until more analysis was done. Harker stated, “This issue is being actively looked at now.”