Moscow: The Central Bank of Russia will approach the reduction of the key rate cautiously so that inflation does not accelerate again, Russian Central Bank head Elvira Nabiullina said on Wednesday.

According to Namibia Press Agency, Nabiullina emphasized the need for a measured approach in her address to the State Duma, highlighting the importance of ensuring that the current slowdown in inflation is sustainable. She noted that lawmakers were keen to know when the rate reduction would commence, but stressed that any decision would be made with caution.

Nabiullina reminded the lawmakers of last year’s economic volatility, where an initial decrease in inflation was followed by a resurgence. This historical context underscores the Central Bank’s current strategy to carefully monitor economic indicators before implementing any rate changes.