The Bank of Russia left the key rate unchanged at 21% per annum.
On December 20, 2024, the Board of Directors of the Central Bank of the Russian Federation decided to keep the key rate at 21% per annum.
According to the Bank of Russia , the current monetary conditions will help reduce inflation and return it to target levels.
The board of directors decided that conditions in the Russian economy had become significantly tougher.
The regulator will assess the advisability of raising the key rate at the next meeting.
Given the sharp rise in interest rates and the tightening of monetary conditions, the preconditions were created for the process of disinflation and the return of inflation to the target.
The Bank of Russia predicts that annual inflation could fall to 4.0% in 2026.
The core inflation rate in October-November reached an average of 10.9%.
As of December 16, annual inflation rose to 9.5%.
The Bank of Russia emphasized that the labor market remains tough, and wage growth is outpacing labor productivity.
Author: Elena Gutyro
