MOSCOW, November 19. /TASS/. Plenty of factors, further to the key rate, drive inflation dynamics, Governor of the Bank of Russia Elvira Nabiullina said at the plenary session of the State Duma, the lower house of the Russian parliament.

"It is clear there are many factors influencing inflation apart from the key rate," she said. "Inflation is always the ratio of the demand and the offer. The quicker supply increases and debottlenecking occurs, the better it is for [reduction of] inflation. Costs of logistics and payments and human resources shortage and tariffs and the competition level influence inflation. Nevertheless, the key rate influences on the demand and if demand and supply part from each other, it can influence that," Nabiullina noted.

The time lag from the monetary policy change is about three to six quarters, she said. "The key rate does not influence at once; it is impossible to wait for the immediate effect from it. It probably influences deposit rates quickly, and loan rates slightly later. Its effect goes through the change in the financial behavior of people," Nabiullina added.