This is an interesting discussion. Algorand, unlike most PoS blockchains, has a max supply limit of 10 B, whereas many others have an infinite one. In order to have a functional and secure blockchain, validators must be rewarded and this can be achieved through a transaction fee or the issuance of tokens, the so-called inflation. The latter causes the max supply to grow indefinitely, which is why many blockchains have implemented a transaction fee burning mechanism to reduce it. Since Algorand will have a circulating supply equal to the total and max supply by 2030, I see no other way to reward validators other than through the transaction fee (and I believe this is the reason for not implementing a burning mechanism).
At the moment the circulating and total supplies are about 7.92 B which corresponds to a constant token issuance of 3.46% for each of the remaining 6 years (the actual value decreases over time).