Russia cuts key interest rate for second time in a row as inflation outlook improves
Published on: Friday 25 July 2025
Russia’s central bank on Friday cut the country’s key interest rate to 18%, citing falling inflation and slowing domestic demand. The bank also said that Russia’s domestic demand was slowing, a trend it attributed to “tight monetary conditions.” Russia’s key interest rate underwent a succession of quick hikes in 2023, skyrocketing from 9.5% in July to 16% at the end of the year as Moscow attempted to stave off inflation amid massive government military spending to power its war against Ukraine.
