The Bank of Russia has decided to lower the key rate by 3 points to 14% per annum, the regulator said.

The decision to lower the rate was expected. However, most analysts surveyed by Bloomberg (18 out of 21) predicted a reduction to 15%.

Also, the Central Bank forecasts that annual inflation in Russia in 2022 will be 18.0 – 23.0%; the decline in Russia’s GDP in 2022 will be 8 – 10%;

Risks to price and financial stability in Russia have ceased to grow, important factors for further inflation dynamics will be the efficiency of import substitution, the scale and speed of import recovery, according to the Central Bank.