Reported about 1 month ago
In response to heightened inflation driven by significant military expenditure related to the ongoing conflict in Ukraine, Russia's central bank has raised its key interest rate by two percentage points to a record high of 21%. The bank stated that domestic demand is exceeding supply capabilities, resulting in inflation rates surpassing their July forecast. With government spending on the military consuming a large portion of the budget, the central bank's governor, Elvira Nabiullina, highlighted efforts to stabilize the economy and manage inflation, which could double their target rate of 4% if unchecked.
Source: YAHOO