Free Republic

Vladimir Putin is facing an economic crisis on multiple fronts as the rouble collapses and inflation soars. The head of the Russian Central Bank, Elvira Nabiullina, looks set to compound Moscow's economic misery further as she warns that inflation is continuing to rise. She warned on Wednesday that interest rates may have to be hiked further but added that the decision is “not predetermined.” Ms Nabiullina said: “We have indicated that the Central Bank is open to the possibility of raising the rate, but I want to emphasise that this is not predetermined. "Yes, there is a new pro-inflationary factor,...

Vladimir Putin is listening both to “a peace party” within his administration and “a war party,” responding positively first to the appeals of the first that Russia cannot afford an arms race and saying there won’t be one and then positively to the arguments of the second that Russia must be ready to defend itself." The peace party, which includes Finance Minister Anton Siluanov, Central Bank chief Elvira Nabiullina, Presidential assistant Andrey Belousov, and former Finance Minister Aleksey Kudrin, argues that Russia must cut military spending to meet social needs and thus must reduce tensions with the West. Without such...