Page 62 - bneMag April 2022 Russia living with sanctions

62 I New Europe in Numbers bne April 2022
Russia monetary policy rate vs inflation CPI
Russia's CBR keeps key rate at 20%, Nabiullina nominated for third term
Czech inflation y/y
Source: Central bank of Czech Republic
Ukraine monetary policy rate
Source: Central bank of Ukraine
The board of the Central Bank of Russia (CBR) at the policy meeting of March 18 resolved to keep the key interest rate unchanged at a record- high 20%, after an emergency hike following Russia's military invasion of Ukraine.
Notably, President Vladimir Putin also nominated Elvira Nabiullina for a third 5-year term, amid previous unconfirmed reports that the respected central banker had tried to resign.
Romania’s stock exchange maintains double-digit annual growth despite deep war losses
The main index of the Bucharest Stock Exchange (BVB), BET, still boasted a robust 12.6% y/y annual advance as of March 11, despite the 9.7% m/m decline seen over the past month following the Russian invasion of Ukraine and the subsequent economic turmoil.
The BET-TR index, which includes the dividends disbursed by the listed companies, advanced even more — by 20.7% y/y — and the impact of the war in Ukraine was slightly smaller at -8.5% m/m.
Czech inflation at its highest level since June 1998
Czech inflation accelerated to 11.1% year-on-year in February, its highest level since June 1998, up from 9.9% recorded in January, said the Czech Statistics Office in its monthly report.
“Inflation thus accelerated further, significantly exceeding the upper boundary of the tolerance band around the CNB’s target. Consumer prices adjusted for the first-round effects of changes to indirect taxes rose by 10.7% y/y in February,” said Petr Kral, Executive Director, Monetary Department.
NBU postpones rates decisions until the situation normalises
The National Bank of Ukraine (NBU) announced that it has suspended making any rate decisions until the “economic situation normalises,” the central bank said on March 3.
The NBU has left the prime rate at 10% for the meantime.
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