EXCERPTS-Russian central bank governor speaks at press conference

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MOSCOW, Dec 18 (Reuters) - Below are excerpts translated from Russian by Reuters from Central Bank Governor Elvira Nabiullina speaking at an online press conference after the central bank kept its key rate unchanged at 4.25% on Friday.


“When taking a decision on the key rate in the future, we have to additionally assess how the situation will develop and also whether there is still room left for lowering the rate. It is difficult to give an assertive answer to this question now.”

“If the impact of one-off factors is quickly exhausted and there is a reversal in the dynamic of inflation expectations, then I do not rule out that there might be grounds for additional downward movement in the rate. But such grounds may not appear.”

“For the whole of 2021 we think the orientation of monetary policy will be soft. The timing and pace of normalisation will depend on the development of the situation, there are a lot of uncertainties.”

“As far as publishing the rate trajectory is concerned, we will indeed publish this next year, most likely in the first half of the year.”


“Certainly our view on the balance of proinflationary and disinflationary risks has changed slightly. We don’t see the predominance of disinflationary risks as we saw it previously.”

“Current annual inflation indicators are markedly higher than the trajectory of our October forecast. At the end of 2020, inflation is seen in the range of 4.6-4.9%.”

“Our preliminary estimate is that annual inflation will be around 5% in the first quarter of next year. Then, if the impact of one-off factors subsides relatively quickly, it will drop and return to 4% in the middle of the year.”


“We of course think the share of the state in the banking sector should be decreased. We are firmly committed to exiting the banks we have holdings in. And the sooner we do this, the better.”


“If a decision is taken to introduce a digital rouble, this will be a very gradual process.”

“In our view, it will not have any impact on credit rates, and deposit rates will be the same with or without a digital rouble.”


“The administrative regulation of prices is really a very, very extreme measure.”

“The government’s measures, if fully implemented and the whole effect is realised by the end of December, it would have the effect of a small decrease in inflation by 0.1 percentage points.” (Reporting by Elena Fabrichnaya, Andrey Ostroukh, Darya Korsunskaya, Oksana Kobzeva and Anastasia Lyrchikova; Writing by Alexander Marrow, editing by Maria Kiselyova)