❗Key takeaways from statements of Governor of the Bank of Russia Elvira Nabiullina:

▪The Central Bank discussed maintaining the key rate today and did not substantively discuss cutting it

▪There is less room to cut the key rate now than the Central Bank anticipated in the first half of the year

▪High inflation expectations limit the scope for cutting the key rate

▪The Central Bank is not considering raising its inflation target, calling it "extremely harmful"

▪Accelerated price growth in summer was primarily driven by the fuel market situation, which will gradually normalize

▪There is a danger of indirect and secondary effects stemming from the fuel market developments

▪The impact of UAV attacks on logistics chains on inflation has been negligible so far

▪The Central Bank’s goal is to ensure that today’s rise in gasoline prices does not translate into higher inflation tomorrow

▪Russian economic growth is moving in line with the Central Bank’s forecast, the regulator expects a sustained decline in inflation to resume

▪Investment activity is gradually recovering following weak dynamics in the first quarter

▪Rising demand for imports in Russia contributed to the ruble’s depreciation during the summer months

▪Lending growth continues to be supported by preferential loan rates and mortgages

▪The long-term trend toward a decline in cash in circulation remains steady

▪Increased labor productivity is a primary driver of sustainable economic growth