The Russian President supported the policy of the Central Bank about key rates

Moscow. December 17. President Vladimir Putin supports the policy of the government and the Central Bank ensuring macroeconomic stability. He said this in on Thursday at the annual press conference.

“If they wanted to lower the rate – this can not be done administratively. We must proceed from the realities of our economy from its structure. Naturally, it concerns everyone. And, of course, everyone wants to refinancing rate of the Central Bank was lower on her, as it is known, and guided the commercial banks when issuing loans to economic entities. This is not the only factor rates in the commercial sector, but substantial,” Putin said.

“Of course, I often hear that, but out there, somewhere over the hill, there are other rates, they are lower. Of course, there are lower rates. They did it on purpose, but there are other problems and the structure of the economy is quite different. We have the threat of inflation, and there is the problem of possible deflation, when the manufacturer produces and cannot sell,” he said.

According to him, to reduce the key rate “need not bare the Central Bank, as was done in the Soviet time planned economy” and to help him to suppress inflation. Therefore, continued Putin, the Bank of Russia should not be pushed to further support the real sector, because this will put under question the possibility of fighting inflation.

“Interfax” is a text broadcast of the press conference of Vladimir Putin.