Search results

Monetary policy is widely recognised as central banks’ main tool to manage inflation. Indeed, before the recent financial crises (e.g., the financial crisis of

analysis of monetary policy, its objectives and instruments over the period of inflation targeting — the Monetary Policy Review (MPR). The results of the MPR project

bank communication is a key factor in effective inflation targeting: understanding strengthens credibility, which helps manage inflation expectations. Evaluation of the readability of central banks

operating objective of the Bank of Russia’s monetary policy within the inflation targeting strategy is to maintain rates in the unsecured overnight segment of

action necessary, and inflation will return to target. Those central banks have extensive experience in the field of inflation targeting. Therefore, with inflation expectations in

underlying assets include securities, goods, foreign currency, interest rates, the rate of inflation, official statistics, physical, biological and (or) chemical environmental indicators, as well as

for obligations of the Government of the Russian Federation, debt achieving the inflation target. The key rate is set by the Bank obligations of other

in inflation, fuelled by rapidly recovering demand and persistent supply-side restrictions related to the pandemic. In addition, there are one-off drivers behind the accelerating inflation,

2017 2018 2019 2020 2021 CPI Overall inflation Food Inflation target Non-food Services Trend inflation (5-year rolling window) Inflation target Source: Rosstat, R&F Department

6 4 2 0 2017 2018 2019 2020 2021 Observed inflation Expected inflation Annual inflation Inflation expectations of households stand close to their four-year highs