The Bank of Russia held a meeting of the Board of Directors today and decided to reduce the key rate again, from 11% to 9.5%, which corresponds to the pre-sanction level in mid-February.
“The external environment for the Russian economy remains challenging and significantly limits economic activity. At the same time, the slowdown in inflation is happening faster, and the decline in economic activity is on a smaller scale than the Bank of Russia expected in April,” the Central Bank said in a statement.
“The Bank of Russia will evaluate the feasibility of reducing the key rate at the next meetings,” the regulator adds. The next meeting to consider the issue of the key rate level, is scheduled for July 22, 2022.
