MOSCOW, July 24. /TASS/. The Bank of Russia has decided to lower its key rate from 14.25% to 14% per annum, contrary to analysts’ forecasts that it would remain unchanged. That said, the Central Bank pointed to the need for a more gradual rate reduction, according to the regulator’s press release.

"On July 24, 2026, the Bank of Russia Board of Directors decided to cut the key rate by 25 basis points to 14.00% per annum. <…> Considerable price growth and higher inflation expectations in the summer months were mainly associated with one-off factors. Measures of underlying inflation remain within the range of 4-5% in annualized terms. <…> Nevertheless, given the direct and second-round effects of the temporary decline in production capacities in certain sectors and more expansionary fiscal policy over a three-year horizon than projected in April, a smoother key rate decrease is required," the regulator said.