Russian c-bank to consider cutting key rates during one of next three meetings

The Bank of Russia Board of Directors will consider a cut to key interest rates during one of its next three meetings, Elvira Nabiullina, Governor of Russia’s top financial regulator, has told media representatives.

On October 30, 2015, the Bank of Russia kept the key interest rates unchanged at 11.0% per annum, referring once again to substantial inflation risks. However, the announcement accompanying the rate-setting decision said that the central bank would consider a rate cut at one of its “next meetings”. Ms Nabiullina has explained that an eventual reduction would be discussed during one of the coming three meetings.

The next rate-setting meetings are scheduled for:

  • December 11, 2015;
  • January 29, 2016;
  • March 18, 2016.

The Forex industry has been keeping a close eye on the monetary policy of the Russian “megaregulator” after the sudden key rate hike last December, which led to drying up of Ruble liquidity. This forced many companies back then to halt offering of trading in the Russian currency.

The rates were subsequently cut on January 30th, March 13th, April 30th, June 16th and July 31st this year.

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