National Bank changed its mind regarding lower discount rate by January 1st, 2015
In October, the discount rate will remain unchanged at 20% per annum.
The forecast for January 1st, 2015 assumed the discount rate at 14-16% per annum, but due to a high inflation rate and the need to maintain the profitability of rouble deposits, the discount rate will remain at the current level until late 2014. If profitability on the rouble deposits reduces, state support to banks aiming to compensate for loans’ interest rates might increase. On average, the discount rate in 2015 is projected at 17-18%, which appears feasible if the government is able to limit the price growth.