The Bank of Russia announced on Friday it decided to raise its key interest rate by 100 basis points to 13%.
The central bank noted that inflationary pressure in the Russian economy remains high, adding that one of the reasons for that pressure was the weakening of the ruble in the summer months. "Under these conditions, additional tightening of monetary conditions is required to limit the scale of upward deviation of inflation from the target and its return to 4% in 2024," the bank underlined.
Russian bank stressed it will make its further decisions on the key rate, taking into account actual and expected inflation movements, as well as assessing risks from internal and external conditions and financial markets’ response to these risks.