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Bank of Russia Brings Key Rate Down to 7.25% p.a.


29.07.2019. : public
UrBC, Moscow, July 29, 2019. On 26 July 2019, the Bank of Russia Board of Directors decided to cut the key rate by 25 bp to 7.25% per annum. Inflation slowdown is continuing. At the same time, inflation expectations remain elevated. Russian economys growth rate is coming in lower than the Bank of Russias expectations. Weak economic activity, along with temporary factors, limits inflation risks over the short-term horizon. According to the Bank of Russias forecast, taking into account the pursued monetary policy, annual inflation will return to 4% in early 2020, the recent press release on the banks website says.

The banks Board of Directors will next reconsider the key rate at its meeting scheduled for September 6, 2019.