Russia's Central Bank says key rate hike possible

The Russian Central Bank does not rule out raising the key rate if the slowdown in inflation does not proceed at the expected pace, Deputy Governor of the Bank of Russia Alexey Zabotkin said.

"We do not rule out that an additional rate hike may be required, if not at the next meeting then later, if disinflation occurs at a pace inconsistent with our forecast of 7%-8% for this year and 4% for next year," Zabotkin said.

According to him, the required level of monetary policy tightness has likely been reached as of March.

In March, the Russian Central Bank kept its key rate at 21% per annum.