Ksenia Yudaeva claims that coronavirus didn’t affect Russian economy significantly

Ksenia Yudaeva, First Deputy Chairman of the Central Bank, said that the spread of the coronavirus doesn’t significantly affect the economic situation in Russia.

If we assess the position of the Russian economy at the moment, the coronavirus has minimal effect on it in the literal sense. It indirectly exerts pressure through changes in other states, which financial markets involve Russian enterprises, Yudaeva argues. She stressed that the financial position of the state is stable and doesn’t require detailed control.

According to her words, the Central Bank, like any other regulator, seeks to reduce the existing risks to achieve the greatest stability in the economy. She noted that the Central Bank has enough rapid response systems to deteriorating situations, which have been used more than once and have shown their effectiveness.

When making decisions on the refinancing rate, the Central Bank, as before, assesses the balance of risks for the financial position of the state and inflation. In addition, the regulator will take into account emerging scenarios of economic development. The next meeting of the Central Bank’s Board of Directors to regulate interest rate policy will be held on March 20.

Shortly before, the United States Federal Reserve System urgently cut the interest rate by 0.5%. Some analysts have suggested that this is a signal for the regulator to follow the Fed’s example. Ksenia Yudaeva is convinced that disinflationary risks prevail, but they have not such a scale and duration of the impact to react to them.