Putin: Key rate to be reduced in Russia

Maria Novoselova/"Vestnik Kavkaza"

Russian President Vladimir Putin expects the Central Bank's key rate reduction. It will make loans for enterprises lower. He announced this at the congress of the Russian Union of Industrialists and Entrepreneurs.

As the president noted, today industrial loans are usually issued at floating rates, which are influenced by the key rate. According to trends in the country's economy, the Central Bank's rate should decrease, which will have a positive impact on loans in the industrial sector.

"This will certainly happen, simply based on the objective trends that are developing in the economy. And if it happens and we use floating rates, then the rate will also decrease as projects develop",

Putin said.

The key rate in Russia today is 16%. It was set at this level on December 15, 2023. It has not changed since then. The Central Bank admits that in the second half of the year the rate level may decrease.

© Photo :Maria Novoselova/"Vestnik Kavkaza"