Russian central bank keeps key rate unchanged at 14 pct

MOSCOW, Oct. 23 (Xinhua) -- The Bank of Russia on Friday kept its key interest rate unchanged at 14 percent, citing high inflation expectations.

Photo taken on Feb. 25, 2022 shows the main building of Bank of Russia in Moscow, Russia. (Photo: Xinhua)

Underlying price growth remains in the range of 5-6 percent in annualized terms, while annual inflation stood at 6.8 percent as of Oct. 19, the central bank said in a statement posted on its website.

It expects annual inflation to reach 7.1-7.6 percent by the end of 2026 and return to its 4-percent target in 2027.

The apex bank said Russia's economy was growing at a moderate pace in the second half of 2026, while consumer demand growth was slowing but remained elevated.