The Russian Central Bank’s present key rate of 16% is temporary, Russian President Vladimir Putin said, adding that it will change as inflation declines.
"The Central Bank’s key rate in its today’s form is still temporary. Both Central Bank Governor [Elvira Nabiullina] and experts say it. As inflation-related issues are solved," Vladimir Putin said.
The head of state noted that as inflation declines this position will change.
The Bank of Russia raised the key rate by more than two times last year from 7.5% to 16% per annum. At the last board meeting in December Central Bank Governor Elvira Nabiullina said that the cycle of the key rate hikes was close to completion.
