The Central Bank of Russia has decided to decrease the key rate again, reducing it by 25 basis points (bp) to 6.25 percent per year, the bank said on Friday
MOSCOW (Pakistan Point News / Sputnik - 13th December, 2019) The Central Bank of Russia has decided to decrease the key rate again, reducing it by 25 basis points (bp) to 6.25 percent per year, the bank said on Friday.
"On 13 December 2019, the Bank of Russia Board of Directors decided to cut the key rate by 25 bp to 6.25% per annum," the bank said in a press release.
The bank added that the yearly inflation stood at around 3.4 percent as of December 9, downgrading its 2019 inflation forecast to 2.9-3.2 percent from the previous 3.2-3.7 percent.
"The Bank of Russia forecasts that inflation will range between 2.9-3.2% at the end of 2019 ... In accordance with the Bank of Russia forecast, given the monetary policy stance, annual inflation will come in at 3.5-4.0% in 2020 and will remain close to 4% further on," the press release read on.
The Central Bank of Russia believes that the country's 2019 GDP growth will reach up to 1.3 percent.
"The GDP growth rate will gradually increase from 0.8-1.3% in 2019 to 2-3% in 2022," the bank said.
