Key rate may fall to 10 percent - Aksakov

The Central Bank of Russia could lower its key interest rate to 10% by the end of the year, according to Anatoly Aksakov, head of the State Duma Committee on Financial Markets.

"I believe that 10% is a realistic figure",

Aksakov said.

However, that current inflation levels prevent the regulator from taking decisive action, such as cutting the rate by 1.5 to 2 percentage points from its present level, according to Aksakov.

Aksakov said the Central Bank plans to "act cautiously", meaning the rate could reach 10% by the end of 2026 if inflationary pressures persist, TASS reported.

"Although, given the current dynamics, the key rate should be at 12%, it could be 11%",

Aksakov added.