Russian central bank cuts key interest rate to 7%

UNITED STATES, WASHINGTON (OBSERVATORY) — Russia’s central bank cut its key interest rate by 25 basis points to 7 percent on Friday, the third cut in borrowing costs this year, and said another rate cut was possible at one of its next three meetings.

The rate cut comes amid a slowdown in inflation and stagnant economic growth, which prompted the central bank to cut its GDP forecast.

Announcing the rate cut, Central Bank Governor Elvira Napolina said the bank would consider cutting the key interest rate soon.

But she declined to comment on whether the central bank was ready to cut interest rates at its next meeting in October and then in December.

“The main interest rate cut is likely at one of the next (three) meetings,” she said.

The central bank revised down its forecast for economic growth this year to a range of 0.8-1.3 percent from its previous estimate of 1.0-1.5 percent.


This article is written and prepared by our foreign editors writing for OBSERVATORY NEWS from different countries around the world – material edited and published by OBSERVATORY staff in our newsroom.

Our Standards, Terms of Use: Standard Terms And Conditions.

OBSERVATORY NEWS — Breaking news source, real-time coverage of the world’s events, life, politics, business, finance, economy, markets, war and conflict zones.

Contact us: [email protected]

Stay connected with News Observatory and Observatory Newsroom, also with our online services and never lost the breaking news stories happening around the world.

Support The OBSERVATORY from as little as $1 – it only takes a minute. Thank you.

We are NEWS OBSERVATORY — the only funding and support we get from people – we are categorically not funded by any political party, any government somewhere or from any grouping that supports certain interests – the only support that makes OBSERVATORY possible came from you.