VTB CEO says central bank may cut key rate in September

VLADIVOSTOK, Sep 7 (PRIME) -- Russia’s central bank may reduce its 9% key rate at the next meeting of its board of directors on September 15, the country’s second largest bank VTB’s CEO Andrei Kostin said on Thursday on the sidelines of the Eastern Economic Forum.

“I think it is not ruled out, taking into account opinions of many experts. We have a forecast for the key rate at no more than 8.25% by the end of the year and 7% by the end of next year. There are grounds for a reduction of the key rate, inflation is falling well,” Kostin said.

He also said separately that VTB expects to return at least 50–60% on the loan to troubled Croatian food producer and retailer Agrokor. VTB is one of the largest creditors of Agrokor, and the company’s debt to the bank amounts to 300 million euros.

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