Chairwoman: Central bank still sees room for key rate reduction

MOSCOW, Nov 11 (PRIME) -- Russia’s central bank still sees room for reduction of the key interest rate, but will assess the timing, Central Bank Chairwoman Elvira Nabiullina said on Wednesday at the State Duma, the parliament’s lower house.

“We believe that under the basic scenario we still have space for softening the monetary policy thanks to prevailing disinflation risks… However, we should weigh the timing for reasonable use of the space thoroughly taking into account the uncertainty of the 2021 forecast and the possibility that the situation will evolve under another scenario,” she said.

Nabiullina also said that the quality of Russia’s mortgage market remains high, and domestic banks exercise a more conservative approach to granting loans in the pandemic conditions.

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