MOSCOW, May 4. /TASS/. Russia’s Central Bank does not rule out another worsening of the epidemiological environment able to substantially affect the country’s economic recovery, according to a revised report on monetary policy released by the regulator on Tuesday.
The ongoing spread of the coronavirus and the possible emergence of mutations resistant to treatment methods being used and developed vaccines, do not allow ignoring the related risks, the Bank of Russia noted.
"The worsening of the epidemiological environment that may substantially affect the economic processes, is still possible. However, the pandemic is playing a less notable role both in the global and Russian economy compared with the middle and even the end of 2020," the regulator added.
Meanwhile, the speed of normalization of the monetary policy by central banks in developed economies is coming to the fore as a serious risk, the Bank of Russia emphasized.
"An unexpectedly quick shift to raising the rates may trigger volatility on the market, which will lead to the weakening of currencies of emerging markets and the tightening of global monetary conditions, which in its turn may result in crisis developments in a number of developing countries that have accumulated substantial external debts, which may trigger volatility on the markets in the future," the report said.