MOSCOW, November 19. /TASS/. The Bank of Russia estimates stagflation risks in the country as zero with smart and reasonable monetary policy pursued, Central Bank Governor Elvira Nabiullina said.

"What are stagflation risks? I don’t think that we have such a risk provided we pursue a smart, reasonable monetary policy, which eliminates those risks. We pursue this policy in particular," she said at a plenary session in the State Duma (lower house of the parliament).

Stagflation is a long period taking several years with low rates of economic growth coupled with high inflation, Nabiullina noted. "In fact, the experience of other countries that got through stagflation, [has shown that] this is a result of an unreasonably soft monetary policy when it should be tightened. And I believe that the concerns that are being voiced, that the tight monetary policy will suppress demand are unreasonable in this respect," she added.