Nabiullina spoke about the risks of lowering the key rate with high inflation

An untimely reduction in the key rate with high inflation can have serious consequences. This was announced on April 3 by the head of the Central Bank of the Russian Federation, Elvira Nabiullina.

"Everyone would like rates to decrease faster, but it is naive to believe that the key rate is such a magic wand, and if you lower the rate without paying attention to high inflation, the consequences will be sad in the form of a new rise in prices and an even more significant increase in market rates," Nabiullina said, speaking in the State Duma. Russian Federation.

In addition, she added that inflation in the country will continue to decline in the coming months and "will return to normal by the end of this year." However, by 2025 it will still be above 4% due to the high rates that were at the beginning of the year.

It will get warmer by the summer: the Central Bank's signals indicate a reduction in the key rate in June

In March, the record rate of 21% was maintained, but the Bank of Russia has already cautiously noted positive developments.

Yesterday, Alexey Zabotkin, deputy chairman of the regulator, said that the Central Bank of the Russian Federation does not rule out that in case of insufficient reduction in inflation, an additional increase in the key rate may be required.

Prior to that, on March 21, the Central Bank kept the key rate at 21% per annum. The regulator said that if the dynamics of disinflation does not ensure the achievement of the goal, the Central Bank will consider raising the key rate.