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demand-supply imbalances on different markets could mitigate any effect from the fiscal policy.
In the mid-term, higher social spending and a more solid infrastructure stimulus could change CBR’s fiscal stance to more inflationary and make it keep the monetary policy tighter within the longer-term neutral range (average key rate of 5-6% from 2023). We also see more reasons for CBR to fine-tune its policy stance in September via an additional rate hike of 25bps, as well as to keep the rate on hold for longer (e.g. until 2H22).
2.8 Russia drafts hydrogen development plan
Russia plans to emerge as an exporter of hydrogen within the space of a few years and supply as much as 12mn tonnes per year (tpy) of the fuel by 2035, under a draft development plan approved in August.
The country is eager to carve out a role for itself in the energy transition taking shape in Europe and Asia, and sees an opportunity for converting some of its vast natural gas reserves into low-carbon hydrogen. Deputy Prime Minister Alexander Novak estimated in June that Russia could occupy a 20% share of the global hydrogen market.
21 RUSSIA Country Report September 2021 www.intellinews.com