MOSCOW, 30 Oct. The Bank of Russia gave a signal to the market that one of the next meetings of the Board of Directors may resume lowering rates in the case of deceleration of inflation.
“With the slowdown of inflation in accordance with the forecast of the Bank of Russia will resume the reduction of the key rate on one of the next meetings of the Board of Directors,” reads the press release of the regulator.
“The main sources of inflation risks remain further deterioration of the external economic environment, the preservation of inflation expectations at an elevated level and the revision scheduled for 2016-2017 rate of growth of regulated prices and tariffs, indexation of benefits, and overall easing of fiscal policy. When deciding, the Bank of Russia will take into account the change in the balance of inflationary risks and risks of a cooling economy,” the Central Bank said.
At the meeting of the Board of Directors on Friday, the Bank of Russia kept its key rate unchanged at 11% per annum, as expected the majority of analysts surveyed.