In a statement released following its Monetary Policy Committee meeting, the CBRT noted that leading indicators suggest a decline in seasonally adjusted consumer inflation compared to the previous month. While core goods inflation has shown a slight increase, monthly services inflation remains elevated.
Despite the positive outlook for inflation, the CBRT reiterated its cautious stance against potential upside risks. The bank emphasized that its tight monetary policy will continue until a significant and permanent decline in underlying inflation is observed, and inflation expectations converge to the projected target range.
To support the monetary transmission mechanism and ensure liquidity conditions remain stable, the CBRT indicated its willingness to employ additional macroprudential measures and sterilization tools as needed.
The CBRT's decision to maintain interest rates reflects its commitment to achieving its medium-term inflation target of 5%. The bank will continue to closely monitor inflation indicators and utilize all available tools to ensure price stability. (ILKHA)