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Россия 20.04.2020

The Central Bank is thinking about reducing the key rate

Источник: The DairyNews
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The Central Bank will discuss reducing the key rate at the next meeting, said the head of the Bank of Russia Elvira Nabiullina.

The meeting will be held at the end of next week, on April 24.

"I think that we will consider it in detail in different economic scenarios, including what steps can be taken", Nabiullina said.

At the same time, she noted that an increase in the rate is unlikely.

There are no plans to buy national debt

Nabiullina also said that the purchase of national debt to support the Russian economy is not yet necessary, since standard measures are sufficient.

According to her, the national debt is bought by countries where interest rates are near zero or even in the negative zone.

"We do not have such a situation. Our key rate is still 6%", reminded the head of the Central Bank.

What is “helicopter money”?

Nabiullina also commented on the proposals to "distribute money from a helicopter". In her opinion, direct payments to the population are necessary, but in standard ways.

For example, the government has increased unemployment benefits and provides grants to companies, make salary payments in order to support the income of Russians, and also provides other targeted support measures to families with children.

Nabiullina noted that "helicopter money" is used as a means of support by countries that have exhausted standard methods of conducting monetary policy. In particular, such countries buy bonds, including "junk" rating.


Now "helicopter money" is received in several countries, including the United States and Japan. After Nabiullina's statements, the ruble strengthened slightly against the main reserve currencies. So, the dollar rate fell by 18 cents, the Euro - by 28 cents.

Read more at © DairyNews.ru

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