It is quite a bit more complex than that, as banks also create "reserves" (money balanced by private sector debt) when they make loans. However, the government creating new money is required to net retire those loans or net save. Only deficit spending by government enables either and is required in a healthy economy that doesn't have to continually grow GDP to function.

Inflation can be caused by either excessive bank loans or government spending above the ability of the economy to produce the goods and services the spending was meant to deploy, but it is never as simple as increasing the money supply. Resource scarcity or supply chain hiccups are most usually the primary cause of inflation as we have seen recently.

This type of inflation is transitory and will alleviate itself when markets stabilize and competition can resume naturally. Governments should respond to their mandate to protect their citizens by supplying them with money necessary to afford the higher priced goods for the duration of the crisis.