Nabiullina: Russia's reforms should go together with macroeconomic stability

Structural reforms are very important to achieve economic growth in Russia, but the country must not sacrifice macro-economic stability, the Russian Central Bank governor Elvira Nabiullina told CNBC. 

"I think that structural reforms in Russia are possible, not to mention that they are essential," she said, adding that she expected the government to propose specific structural reforms by October. 

"Of course this requires a rise in the potential growth rates. It requires structural reforms, in terms of labor productivity, private investment and then the economy can grow at higher rates than it is now," the governor explained.

But she cautioned that higher growth rates should be pursued alongside structural reforms in Russia, and that growth in itself should not be pursued at the expense of stability.

"I would like to stress that it is very important, including from the standpoint of the central bank, that structural reforms of this kind should go together with macroeconomic stability," Nabiullina added.

"In other words, a rise in economic growth rates should not be to the detriment or at the expense of … macro-stability, low inflation, a well-balanced budget deficit," she stressed.

"Therefore, I believe, the central bank believes, that high and stable economic growth rates may be on the basis of a combination of macroeconomic stability and structural reforms," Russia's Central Bank governor concluded.