Inflation: The Results of 2019
Monitoring of Russia's Economic Outlook. 2020. Moscow. IEP. No. 2, pp. 5-7
3 Pages Posted: 7 Apr 2020
Date Written: March 16, 2020
In 2019, the significant inflation slowdown translated into a notable monetary policy easing. Over the course of the year, the Bank of Russia reduced its key rate 5 times (from 7.75 to 6.25% per annum), as a result of which, according to the Bank of Russia, it now stands near neutral level. Our experts forecast that in early 2020, the annual inflation rate may even plunge below 2%, and so the Bank of Russia may further ease its monetary policy. However, towards the year’s end, the growth rate of the Consumer Price Index may climb back into the range of 3.5–4% due to increased budget expenditure and domestic demand recovery.
Keywords: Russian economy, inflation
JEL Classification: E31
Suggested Citation: Suggested Citation