Posted on 03/21/2025 4:45:54 AM PDT by marcusmaximus
The Russian central bank kept its key rate on hold at 21% on Friday, in line with expectations, and said more rate hikes were still possible in the future as inflationary pressures have decreased but remain high.
"The Bank of Russia estimates that the achieved tightness of monetary conditions creates the necessary prerequisites for returning inflation to the target in 2026," the regulator said in a statement.
"If disinflation dynamics do not ensure achieving the inflation target, the Bank of Russia will consider raising the key rate," it added.
-snip-
President Vladimir Putin urged his economic officials this week not to freeze the Russian economy as if it were in a "cryotherapy chamber" with their tight monetary policy.
Putin spoke to Russian business leaders, many of whom openly oppose the central bank's policy and argue that it is stifling the economy and investment. He emphasized that an excessive cooling-down of the economy should be avoided.
The central bank forecasts that economic growth will fall to 1-2% in 2025 from 4.1% in 2024 as a result of its monetary policy, while the government expects the economy to grow by 2.5% in 2025.
(Excerpt) Read more at money.usnews.com ...
file
The reason Russia needs cease fire.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.