The Board of Directors of the Bank of Russia decided to keep the key rate at 4.25% per annum, the regulator informed.
In December and January, prices continued to grow at an elevated pace. Demand is recovering faster and more sustainably than expected, the Central Bank notes.
At the same time, supply-side restrictions are still in place and continue to exert upward pressure on prices. Inflation expectations of households and businesses remain elevated.
Accelerated vaccination rates, as well as expectations of additional fiscal support measures in certain countries, contribute to the growth of prices in financial and commodity markets. In this context, disinflationary risks no longer prevail over a one-year horizon, the regulator emphasizes.
