Inflation and Monetary Policy in October 2015

The Consumer Prices Index (CPI) in October 2015 continued to grow, up 0.6% (0.7% in October 2014), reaching 0.7% (0.8% in Oct. 2014). The Russian rouble's exchange rate in October strengthened a bit in response to both uptrend in the crude oil market as well as some geopolitical improvements. Russia's Central Bank decided at a meeting on 30 October that the base rate of interest as well as the rates on Russian Central Bank operations on providing and absorbing liquidity will remain unchanged. It would be unreasonable to lower the base rate amid high risks of inflation and further depreciation of the rouble