The high key rate of the Bank of Russia is temporary and the current monetary policy will soften next to inflation downward trend, Russian Deputy Prime Minister Alexander Novak said at the Caucasus Investment Forum.
"Certainly, all of us are now in rather challenging conditions, considering the high key rate. We understand this is a temporary phenomenon. As inflation will go down, and we already see it, we expect that the monetary policy will be eased," Alexander Novak said.
On 25 April, the Bank of Russia decided to keep the key rate at 21% per annum. The key rate has stood at a record-high of 21% since last October.
