Russia's central bank on Wednesday kept its policy interest rate unchanged for the eighth successive month, as inflation continued to be above target and economic growth remained weak. The decision was in line with economists' expectations.
The central bank retained its refinancing rate at 8.25 percent for the eighth time in a row. The bank also maintained its one-week repurchase rate, which is used to provide banks with cash, at 5.5 percent, and the overnight deposit rate at 4.5 percent.
Russia's inflation accelerated to 7.2 percent in April from 7 percent in March, and stayed above the central bank's target, due mainly to higher food prices and the dynamics of certain regulated prices and tariffs.
The bank said it expects inflation to return to the target range in the second half, provided food prices do not give further adverse shocks and the current monetary policy stance is maintained.
A statement from the bank said that the dynamics of the key macroeconomic indicators point to a continuing deceleration of economic growth in the first quarter.
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