The Russian central bank kept its key lending rates unchanged at a regular meeting on Friday, after unexpectedly raising them two weeks ago when assets tumbled on President Vladimir Putin’s declaration he had the right to invade Ukraine.
The one-week repurchasing agreement rate was kept at 7 percent, after the central bank hiked it by 150 basis points on March 3 to stem capital flight from Russia.
“The Bank of Russia’s priority is to contain the effect of (the rouble’s) exchange rate dynamics on inflation and to maintain financial stability,” the central bank said in a statement.
“Hence, the Bank of Russia does not intend to lower the key rate in the coming months.”