Financial News: Russia Central Bank Keeps Key Rate Unchanged

Russia Central Bank Keeps Key Rate Unchanged

04/26/2024 - 08:30:00 (RTTNews)

(RTTNews) - Russia's central bank left its key interest rates unchanged for the third consecutive meeting on Friday but cautioned about upside risks to inflation.

The board of directors of the Bank of Russia, headed by Governor Elvira Nabiullina, decided to hold the key rate at 16.00 percent.

As domestic demand outstrips the capabilities to expand supply, inflation will return to the target somewhat more slowly than the central bank forecast in February, the bank said.

The bank added that the tight monetary conditions will be maintained in the economy for a longer period than previously forecast.

The central bank upgraded its inflation outlook for 2024 to 4.3 percent-4.8 percent from 4.0-4.5 percent. Inflation is forecast to return to 4 percent in 2025. Inflation expectations showed mixed dynamics but remained elevated, the bank noted.

The growth outlook for 2024 was revised up to 2.5 percent to 3.5 percent.

The balance of inflation risks is still tilted to the upside, the bank observed. The main proinflationary risks are associated with changes in terms of trade, persistently high inflation expectations and upward deviation of the economy from a balanced growth path and the fiscal policy normalization path.

For comments and feedback: contact editorial@rttnews.com

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS

Brazil Services Growth Remains Strong In April (06 hr(s), 19 min(s), 54 sec(s) ago)
(RTTNews) - Brazil's service sector continued to expand at a solid pace in April amid sustaine ...Full Story»

Eurozone Private Sector Growth Accelerates In April (06 hr(s), 34 min(s), 54 sec(s) ago)
(RTTNews) - The euro area private sector growth accelerated to an 11-month high in April driven by ...Full Story»

Spain Unemployment Lowest Since 2008 (07 hr(s), 33 min(s), 54 sec(s) ago)
(RTTNews) - Spain's unemployment declined sharply in April to the lowest level since September ...Full Story»

South African Private Sector Logs Marginal Expansion (08 hr(s), 0 min(s),54 sec(s) ago)
(RTTNews) - South Africa's private sector activity signalled a moderate expansion in April as ...Full Story»

Eurozone Sentix Investor Confidence Rises For 7 Straight Months (08 hr(s), 50 min(s), 54 sec(s) ago)
(RTTNews) - Eurozone investor confidence improved for the seventh straight month in May to hit the ...Full Story»

Eurozone Producer Prices Continue To Fall Sharply (09 hr(s), 03 min(s), 54 sec(s) ago)
(RTTNews) - Eurozone producer prices logged a further steep decline in March amid a continued down ...Full Story»

Hungary Trade Surplus Grows In March (11 hr(s), 0 min(s),54 sec(s) ago)
(RTTNews) - Hungary's foreign trade surplus increased in March from a year ago, as imports fel ...Full Story»

Indonesia GDP Growth Exceeds Expectations (11 hr(s), 19 min(s), 54 sec(s) ago)
(RTTNews) - Indonesia's economy grew more than expected in the first quarter on robust governm ...Full Story»