Russia to begin trials of new military transport plane in late 2017Military & Defense May 29, 16:18
Putin and Macron hold their first meeting in VersaillesRussian Politics & Diplomacy May 29, 15:58
Putin arrives in France for first meeting with MacronRussian Politics & Diplomacy May 29, 14:58
Romano Prodi believes G7 takes back seat without Russia and ChinaWorld May 29, 14:24
War on terror to top Putin-Macron talks agenda — KremlinRussian Politics & Diplomacy May 29, 14:16
Kiev's intelligence agency raids Yandex offices in UkraineWorld May 29, 14:11
Diplomat says Montenegro playing 'Russian interference' card as excuse for NATO membershipRussian Politics & Diplomacy May 29, 14:00
Putin declares 2018-2027 to be Children’s Decade in RussiaSociety & Culture May 29, 13:30
Press review: Macron’s 'independent policy' display and MC-21’s maiden flight to successPress Review May 29, 13:00
MOSCOW, June 19. /ITAR-TASS/. The months-long political crisis in Ukraine may trigger a further deterioration of the business climate and weakening of the Russian ruble in July-December, the Central Bank of Russia (CBR) said in a statement Wednesday.
“In case the Ukrainian crisis does not subside in the nearestv future, the Russian economy may see both direct and indirect negative consequences,” the authority said.
The possibility of trade collapse between the two countries, increasing risks for gas transit to Europe and possible sanctions extension by Brussels and Washington may scare off domestic and foreign investors from Russian assets, the CBR said.
In case the risks materialize, the Central Bank will employ anti-inflation policies, it said.
In May, the ruble exchange rate fall contributed 0.8% to the annual consumer price inflation (CPI) growth, the central bank said. The CPI stood at 7.6% in May.
According to the CBR’s forecast, the CPI increase will slow down in 2015-2016 and will manage to reach the target levels of 4.5% in 2015 and 4% in 2016.
The authority separately said in its report that citizens’ deposits growth slowed down to 10.5% as of June 1 compared to 18.1% as of the end of 2013.
The CBR attributes the decline in deposits’ rise to people’s fears that the central bank continues its harsh policies against banks involved in shady deals, and fears that authorities will limit dollar-denominated deposits. Russians have preferred to buy large batches of durable goods lately, waiting growing inflation, the central bank said.