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Foreign companies’ withdrawal from Russian market has minimal impact on inflation

Russian Central Bank Governor Elvira Nabiullina added that the regulator was forced to shift to tight monetary policy, which is a new situation for the country’s economy

MOSCOW, October 31. /TASS/. Withdrawal of foreign companies from the Russian market has minimal impact on inflation, Governor of the Bank of Russia Elvira Nabiullina said at the State Duma.

"Withdrawal of foreign companies from the Russian market <...> has some impact on (inflation - TASS), but it is very secondary and tertiary, it is not a main factor," Nabiullina said.

Nabiullina also added that the Bank of Russia has been forced to shift to tight monetary policy, which is a new situation for the country’s economy. "We were forced to enter the period of tight monetary policy, this being a new situation for our economy," she said addressing the State Duma (lower house of the parliament).

The regulator raised its key rate by 2 percentage points to a record level of 21% per annum at its meeting of the board of directors on October 25, noting the possibility of its further increase at the next meeting of the board meeting.

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