Bank of Russia has lowered its key interest rate to 11.5% per annum
UFA, 16 June 2015. /Bashinform News Agency, Alim Faizov/.
The Bank of Russia announced reduction of the key rate from 12.5% to 11.5% per annum. This is the fourth rate cut in the past five months.
Following the meeting on June 15, the Board of Directors of the Bank of Russia announced reduction of the key rate by 100 basis points to 11.5% per annum. "The Board of Directors of the Bank of Russia decided to cut the key interest rate, given the further weakening of inflationary risks while significant risks of the economic slowdown. In the context of a significant reduction in consumer demand and ruble strengthening observed in February-May a decrease in consumer prices continued",- it was said in the statement the Bank of Russia, posted on its website.
Inflation in the country, according to the Central Bank, remains at 15.7% per annum.
The key rate is the rate of Bank of Russia loans on securities (repo) for a period of seven days.