The head of the Central Bank warned Russians about problems with deposits and loans

Bank of Russia raises key rate to record to fight inflation

The sharp increase in the key rate of the Bank of Russia to 21% per annum is an unprecedented step designed to curb rapidly growing inflation. This decision, according to the head of the Central Bank, Elvira Nabiullina, is dictated by the need to stabilize the economy and reduce the rate of price growth. However, achieving the inflation target of 4% by 2024 remains in doubt, despite the scale of the measures taken.

Nabiullina named the main factor exerting inflationary pressure as excess demand, fueled by significant savings of the population. The Central Bank reserves the right to further increase the rate if current measures prove ineffective. All subsequent decisions will be made taking into account…