Russia cuts rates by 200bp, citing moderation in inflation
Experts say central bank waited until expectations had moderated and cut may support country’s lenders
The Bank of Russia has cut its policy rate by 200 basis points to 18%.
In announcing the decision today (July 25), the bank said inflationary pressures had been declining faster than it had previously forecast, that demand was slowing and that the economy continued to return to “a balanced growth path”.
It said policy would remain “as tight as necessary” to ensure inflation reached its 4% target by next year. This implied an average policy rate of 18.8–19.6% in 2025 and 12–13% in 2026. The bank is
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