Eastern Europe

Bank Of Russia Cuts Interest Rates

Bank Of Russia Cuts Interest Rates

The Bank of Russia reduced interest rates to 5.5% per annum in the face of the Chinese coronavirus epidemic along with the collapse in oil prices on international markets, which makes up 50% of Russian federal revenues.

“On 24 April 2020, the Bank of Russia Board of Directors decided to cut the key rate by 50 bp to 5.50% per annum. Since the March Board of Directors meeting, the situation has changed dramatically. Significant restrictive measures have been introduced to combat the coronavirus pandemic both in Russia and across the world, which negatively influences economic activity,” the statement said, reported Russian state news agency TASS.

This creates material and prolonged disinflationary influence on price dynamics from the aggregate demand perspective, which offsets the effect of temporary pro-inflationary factors, including those related to the fall in oil prices, the regulator added.

Related articles

Putin Offers Debt Relief To 42 Million Russians Prior To Election

Tsarizm Staff

US/Russia Extend START Treaty An Additional Five Years As Biden Appeases CCP

Tsarizm Staff

Pompeo/Mattis Ramp Up Pressure On Russia Along NATO Borders And With Ukraine

L Todd Wood

Leave a Comment

Subscribe to our evening newsletter to stay informed during these challenging times!!