Russia's central bank kept its main interest rate unchanged on Friday morning, but signaled that it would cut rates in the coming months with an expected slowdown in inflation rates.
Policymakers at the bank kept the main lending rate on hold at 11 percent Friday morning. This tallied with a Reuters poll of economists on Monday. However, a sizable minority in the poll had predicted a rate cut of 50 basis points.
This sizable minority is likely to increase with the bank highlighting that it would make a move in the near future. It said Friday that it would be guided by any alterations in the balance between a cooling economy and consumer price growth.
"As inflation slows down in line with the forecast, the Bank of Russia will continue with a downward revision of its key rate, at one of its forthcoming Board of Directors meetings," it said in a statement Friday morning.
It credited "elevated inflation expectations" for its decision to keep rates unchanged on Friday, but forecasts for these rates to begin to slow.