Today’s decision by the Central Bank of Russia to cut its benchmark one-week repo rate by 100bps appears to have been driven by the stabilisation of the ruble over the past month. Barring a renewed fall in the oil price, and hence the ruble, a few more interest rate cuts seem likely. Nonetheless, the size of rate cuts will be relatively modest, and the bigger picture is that monetary conditions will stay tight for some time yet.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services