Bank of Russia Projects Key Rate at 13-15% in 2027 Under Pro-inflationary Scenario
The Bank of Russia projects the key rate at 14.5-14.6% in 2026, and at 13-15% in 2027 under its pro-inflationary scenario, according to the regulator. The key rate is further projected at 11-12% in 2028, and at 8.5-9.5% in 2029.
According to TASS, the Central Bank also expects inflation at 6-7% in 2026, 4.5-5.5% in 2027, and 4% in 2028-2029 under this scenario. GDP growth is anticipated at 0-1% in 2026, 1-2% in 2027, 0.5-1.5% in 2028, and 1.5-2.5% in 2029.
The Bank of Russia aims to maintain inflation close to the 4% target and will assess the feasibility of lowering the target in the future, as stated in its Monetary Policy Guidelines.
"The target of the monetary policy of the Bank of Russia is an annual inflation rate of close to 4%. […] The Bank of Russia will analyze when the economy will be able to form the prerequisites for reducing the inflation target and to what level," the document reads.
Any such decision will be announced several years in advance, the regulator noted.
