The Bank of Russia announced on Friday that it decided to cut its key interest rate by 300 basis points to 14%.
"The external environment for the Russian economy remains challenging and significantly constrains economic activity. With price and financial stability risks no longer on the rise, conditions have allowed for the key rate reduction," the central bank stated.
The bank noted it will continue to monitor "actual and expected inflation dynamics relative to the target and economic transformation processes," as well as risks posed by "domestic and external conditions" and, if the situation develops as expected, will be ready to further cut rates this year.
