The publication covers the main aspects of the discussion about the economic situation and inflation, monetary and external conditions, and alternatives to the key rate decision.
The participants in the discussion paid particular attention to the reasons behind the economic slowdown observed in recent months. They concluded that it was predominantly attributable to supply-side constraints rather than demand-side factors.
That situation required additional tightening of monetary conditions in order to bring inflation back to the target in 2025.
Following the discussion, the Board of Directors increased the key rate to 19.00% per annum. The Bank of Russia admits that it might raise the key rate further at its upcoming meeting in October.