Abu dhabi: The Bank of Russia has projected the key interest rate to be between 13-15% in 2027 under a pro-inflationary scenario, as outlined by the regulator.
According to Emirates News Agency, the Central Bank also anticipates inflation levels to be between 4.5-5.5% in 2027. The key rate for the preceding year, 2026, is expected to be around 14.5-14.6%, while projections for 2028 place the rate between 11-12%, eventually decreasing to 8.5-9.5% by 2029. In terms of GDP growth, the Bank forecasts a 1-2% increase in 2027, followed by 0.5-1.5% in 2028, and a 1.5-2.5% rise in 2029.
The Bank of Russia has expressed its goal of maintaining inflation close to a 4% rate, with future assessments planned to determine if lowering this target is reasonable. The current inflation target is maintained on a permanent basis, and inflation rates are calculated by the Federal Service for State Statistics (Rosstat) using the consumer price index (CPI).
As part of a comprehensive Monetary Policy Review set to be completed in 2028, the Bank will evaluate the conditions necessary to potentially reduce the inflation target. Should any changes be decided upon, the Bank intends to announce them several years in advance.