Russian cenbank warns consumer inflation will accelerate further

div classBodysc17zpet90 cdBBJodivpReuters – Consumer inflation in Russia will keep on accelerating in annual terms due to base effects, the central bank said on Wednesday, warning that rouble volatility will continue, leading to upside inflationary pressure.p

pIn monthonmonth terms, consumer prices in Russia jumped 7.61 in March, their biggest such increase since January 1999, as the economy took a hit from sanctions and a record fall in the rouble.pdivdivdiv classBodysc17zpet90 cdBBJodiv

pYear on year, inflation accelerated to 16.69 in March from 9.15 in February, and officials say it can reach 20 this year.p

pThe central bank said its policy will help bring inflation to the 4 target in 2024.p

pLast week, the central bank unexpectedly cut its key interest rate to 17 from 20 and said future cuts were possible, as emergency steps had contained the risk to financial stability, brought deposits back to banks and helped limit the threat of inflation.