Free Trial

CBR Say Inflationary Pressures Have Significantly Increased

RUSSIA
Highlights from the policy statement:
  • The Bank of Russia will make further decisions on the key rate taking into account the actual and expected dynamics of inflation relative to the target.
  • The return of inflation to target in 2024 and its subsequent stabilisation close to 4% imply that tight monetary conditions will be maintained in the economy for long.
  • Current inflation pressure has increased significantly and is exceeding the expectations of the Bank of Russia.
  • Proinflationary risks remain substantial over the medium-term horizon.
  • According to the updated forecast of the Bank of Russia, annual inflation will range from 7.0 to 7.5% in 2023. Given the monetary policy stance, annual inflation will decline to 4.0–4.5% in 2024 and stay close to 4% further on.
  • In its baseline scenario, the Bank of Russia forecasts that GDP will grow at 2.2–2.7% in 2023, 0.5–1.5% in 2024.

Click here to see the full statement.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.