Since December 18, 2023, the key rate has been 16%. Inflation has accelerated and is running substantially above the Bank of Russia’s forecast. The growth of domestic demand continues to significantly outpace the ability to expand the supply of goods and services.
Credit growth continues to increase. Additional monetary policy tightening is required for inflation to start falling again, and substantially tighter monetary conditions than previously assumed are required for inflation to return to target. The Bank of Russia will assess the feasibility of further key rate hikes at its next meetings. Next meeting of the regulator – September 13, 2024.