Nabiullina Names Worst Economic Risk Combo
Moscow, Oct 23. Vesti. Increased demand and reduced supply – this is the most unpleasant combination of risks for the economy, said Elvira Nabiullina, the regulator's head, at a press conference following the Central Bank's meeting.
Consensus
- Elvira Nabiullina is the head of the Central Bank of Russia.
- The Central Bank of Russia kept its key interest rate unchanged at 14%.
- Nabiullina described the combination of reduced supply and rising demand as the most undesirable risk for the economy.
- Slow recovery of production capacity is a concern.
- Persistent labor market tightness remains a risk.
- Budget deficit is a factor contributing to inflationary pressures.
- Geopolitical factors can influence inflation both positively and negatively.
- The Central Bank's decision was announced after a meeting on Friday.
Points of divergence
- Nabiullina emphasized the presence of both supply-side and demand-side inflationary risks, with demand-side risks including heightened inflation expectations, prolonged labor market tension, and higher budget deficit. — riamo
- Nabiullina identified the main driver of sustainable economic growth as labor productivity, linked not only to new equipment but also to employee motivation and work process organization. — vesti
Coverage (2 sources)
- Head of Central Bank of Russia Nabullov named "most unpleasant" for economy — РИАМО
- Nabiyulina named the most unpleasant combination of risks in the economy — Вести