Bank of Russia Lowers Key Interest Rate to 16%
The Bank of Russia lowered the key interest rate to 16% amid a slowdown in price growth rates.
SUMMARY
The Bank of Russia lowered the key interest rate to 16% per annum, noting a slowdown in price growth rates, an increase in inflation expectations, and continued high lending activity.
KEY HIGHLIGHTS
- Key interest rate reduced by 50 basis points to 16% per annum.
- Current price growth rates decreased in November.
- Inflation expectations have risen in recent months.
- Lending activity remains high.
CORE SUBJECT
Bank of Russia's Key Interest Rate Reduction
MOSCOW, December 19. /TASS/. The Bank of Russia has lowered the key interest rate by 50 basis points to 16% per annum amid a slowdown in current price growth rates, but noted an increase in inflation expectations.
"The Board of Directors of the Bank of Russia has decided to reduce the key interest rate by 50 basis points to 16.00% per annum. The economy continues to return to a balanced growth trajectory. The basic indicators of current price growth decreased in November. However, inflation expectations have risen in recent months. Lending activity remains high," the regulator said in a press release.
KEYWORDS
MENTIONED ENTITIES 2
Bank of Russia
🏛️ OrganizationCentral Bank of the Russian Federation
Moscow
📍 Location_CityCapital of the Russian Federation
NOTABLE QUOTES 1
"The Board of Directors of the Bank of Russia has decided to reduce the key interest rate by 50 basis points to 16.00% per annum. The economy continues to return to a balanced growth trajectory. The basic indicators of current price growth decreased in November. However, inflation expectations have risen in recent months. Lending activity remains high."
Context: Bank of Russia press release on key interest rate reduction