The Central Bank of Russia has left the door open to an additional interest rate hike in line with inflation targets. Alexey Zabotkin, Deputy Governor of the Central Bank of Russia, stated that inflation rose at a slower pace than expected in the first quarter, mentioning, “If inflation slows to a different level in line with the inflation targets, we do not rule out an additional increase in the policy rate.” Zabotkin pointed out in Moscow that the inflation rate continues to stay far from the targeted 4 percent level. Indicating that they will maintain a tight monetary policy, Zabotkin used the expression, “If March inflation comes in similar to the weekly data, then we can say that inflation rose at a slower pace than expected in the first quarter.” Explaining that inflation is targeted at 7 to 8 percent for 2025 and 4 percent for the next year, Zabotkin stated, “If inflation slows to a different level in line with the inflation targets, we do not rule out an additional increase in the policy rate.” The Central Bank of Russia had increased the policy rate to 21 percent in October 2024 with a 200 basis point hike due to rising inflation, reaching an all-time high.