Following the decision to hike the policy rate by 100 basis points to 6.5%, Russian central bank chief Elvira Nabiullina said on Friday that their monetary policy will not restrain the economic growth in Russia, as reported by Reuters.
Additional takeaways
"New OPEC+ agreement will contribute to Russia's economic growth in 2021 and 2022."
"We see signs of overheating in unsecured retail lending."
"Average key rate is seen at 6-7% in 2022."
"We did not consider raising rates by 25 bps today."
"We considered raising rates by 50 and 75 bps today."
."We see no feasibility in raising inflation target from 4%."
Market reaction
Despite the large increase in the policy rate, the USD/RUB pair's reaction was largely muted and it was last seen posting small daily losses at 73.5660.
