Nabiullina: VAT increase to impact growth and inflation
A higher value added tax will add 1 percentage point to Russia’s inflation rate next year and will have a short-term adverse impact on economic growth, Russian central bank governor Elvira Nabiullina said.
Russia's bank chief also said that the central bank’s current key rate was close to neutral level, Reuters reported.
On 26 October 2018, it was decided to keep the key rate at 7.50% per annum. The Bank of Russia Board of Directors will hold its next rate review meeting on 14 December 2018.