The Board of Directors’ Decision on the Bank of Russia Key Rate (Unofficial translation)
3 March 2014
Press release
The Bank of Russia Board of Directors decided to temporarily increase the Bank of Russia key rate to 7.00% effective from 11:00 Moscow time 3 March 2014. The decision is aimed at preventing the risks for inflation and financial stability arising from the recent increase in financial market volatility.
The next Bank of Russia Board of Directors meeting is to be held on March 14, 2014.
Interest rates on the Bank of Russia operations(% p.a.)
| Purpose | Type of instrument | Instrument | Term | Rate since 03.02.14 | Rate from 11:00 Moscow time 3 March 2014 |
| Liquidity provision | Standing facilities (fixed rates) | Overnight loans; FX swaps (rouble rate); Lombard loans; REPO | 1 day | 6.50 | 8.00 |
| Loans secured with gold | 1 day | 6.50 | 8.00 | ||
| From 2 to 365 days | 7.00 | 8.50 | |||
| Loans secured with non-marketable assets and guarantees | 1 day | 6.50 | 8.00 | ||
| From 2 to 365 days | 7.25 | 8.75 | |||
| Open market operations (minimum interest rates) | Loans secured with non-marketable assets, auctions1 | 3 months | 5.75 | 7.25 | |
| Loans secured with non-marketable assets and guarantees, auctions1 | 12 months | 5.75 | 7.25 | ||
| REPO auctions | from 1 to 6 days2, 1 week | 5.50 (key rate) |
7.00 (key rate) |
||
| Liquidity absorption | Open market operations (maximum interest rates) | Deposit auctions | from 1 to 6 days2,3, 1 week | ||
| Standing facilities (fixed rates) | Deposit operations | 1 day, call | 4.50 | 6.00 | |
| Memo item: | |||||
| Refinancing rate | 8.25 | 8.25 | |||
| 1 Loans extended at a floating interest rate, linked to the level of the Bank of Russia key rate. |
| 2 Fine-tuning operations. |
| 3 Maximum interest rate on deposit auctions for terms from 1 to 6 days is effective since 17.02.2014. |
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