Russia’s central bank slashed its key interest rate to the lowest level in nearly a year amid slowing inflation and worries the country’s economy could tip into recession.
The Bank of Russia reduced the benchmark rate by 200 basis points to 18% on Friday. All economists surveyed by Bloomberg expected a cut, and seven out of 11 anticipated today’s move. One analyst expected an even bigger decrease, while three forecast the rate to be brought down by 100-150 basis points.