Central Bank (CBRT) analysts have updated their average interest rate forecasts this year. According to the new data, by the end of December, this figure will be in the range of 7% to 9% annually, opens Words of Elvira Nabiullina, head of foreign exchange regulator, press service of the Central Bank.
“In our updated forecast for this year and next year, average key rate ranges have been increased by half a point to 7.0-9.0% per year for 2023 and 6.5-7.5% per year for 2024,” Nabiullina said. A speech at the press conference held after the Central Bank leaders meeting.
According to him, the reason for raising the key rate in the medium term may be the need to implement a strategy to bring the inflation rate in the country to the optimum level of 4%. However, the Central Bank Governor did not exclude the interest rate cut scenario until the end of December. However, the need for this measure has recently decreased.
The main decision of the foreign exchange regulator leadership’s business meeting on February 10, it happened keeping the current level of the key ratio unchanged. Thus, the annual 7.5% bar has been maintained for almost six months from September 16, 2022. During this time, the Central Bank did not change this level three times in a row.