Nabiullina called the reduction of the key rate in the near future unlikely

The Chairman of the Bank of Russia Elvira Nabiullina said that the reduction of the key rate at the next meetings is unlikely. She also said that the Central Bank is not conducting any negotiations on the scheme for the exchange of blocked assets, either with foreign regulators or with foreign investors. Such statements were made by the head of the Bank of Russia during the conference “10 years of the mega-regulator: yesterday, today, tomorrow”.

“Reducing the rate at the next meetings is unlikely. We can cut the rate only when we see a steady decline in price growth rates. Let me remind you that we raised the rate at an extraordinary meeting precisely because of the escalation of risks for inflation, and in this the situation differs from what it was at the end of 2014, the beginning of the past, ”explained Ms. Nabiullina (quoted from “Prime”).

Moreover, the head of the regulator allowed a possible increase in the key rate, since this measure with a “certain time lag” should lead to the strengthening of the national currency. August 15, the Central Bank at an extraordinary meeting raised the key rate immediately by 3.5 percentage points to 12%. As noted by the Central Bank, the decision was made in order to limit the risks for price stability.

In addition, Elvira Nabiullina clarified during the conference that the Central Bank admits the possibility of holding negotiations on the exchange of blocked assets with foreign regulators, but no consultations are being held to date.

“The exchange can only be voluntary both on the part of Russian investors and foreign buyers. If this requires permission from foreign regulators, then they, accordingly, should be obtained, depending on this, the transactions will take place or not, ”said the head of the Central Bank.

At the same time, the head of the Ministry of Finance Anton Siluanov declaredthat the government and the Central Bank have already prepared a draft decree on the beginning of the exchange of blocked assets of Russian and foreign investors.

Alexander Kislov