Posted on 07/25/2023 2:44:28 AM PDT by Cronos
Moscow took sharp action on Friday to curb inflation, fearing the effects of ever higher spending on the war in Ukraine and of a weakening Russian ruble.
Russia’s central bank took the unexpected step of raising its benchmark interest rate by a full percentage point, to 8.5 percent from 7.5 percent. It was the first large hike in more than a year, and the bank warned that further increases were likely.
“It is a surprise and on its face reflects more concern at the central bank about inflation and how the economy is doing than we had appreciated,” said Robert Kahn, the head of the Geoeconomics Team at the Eurasia Group, a New York-based risk analysis firm. “It suggests that the war is proving increasingly disruptive to economic activity and pushing up inflationary pressures.”
Elvira Nabiullina, the central bank governor, only made oblique references to the war in announcing the increase. “Companies cannot immediately open new production lines and find the additional work force for them,” she said. “When demand begins to consistently surpass the ability to increase supply, prices invariably grow.”
(Excerpt) Read more at nytimes.com ...
2. When you engage in actual fighting, if victory is long in coming, then men's weapons will grow dull and their ardor will be damped. If you lay siege to a town, you will exhaust your strength.
3. if the campaign is protracted, the resources of the State will not be equal to the strain.
4. Now, when your weapons are dulled, your ardor damped, your strength exhausted and your treasure spent, other chieftains will spring up to take advantage of your extremity. Then no man, however wise, will be able to avert the consequences that must ensue.
6. There is no instance of a country having benefited from prolonged warfare
“Russian inflation at 60%, thanks to the ruble’s freefall”
LOL. Any figures to back this wild claim?
Russian food inflation is lowest in Europe and the mortgage is averaging at 6,72% (in rubles) as contrary to 7,5% (in dollars) in US.
No confirmation at link.
Quite a difference from the OP’s claim.
a shame when you have to check every damn thing you read.
No, just giving you the source for the NYT article.
The 60% seems like overvaluing a typo.
As a matter of fact, the inflation in Russia is lower than Eurozone’s, and the mortgage is less than in the US. It is all you need to know.
see post 5
Yes it is a shame. I’ve concluded just about anything put out by the mainstream media is utter BS. In particular subjects the world’s elite are trying to manipulate, like the war in Ukraine, glowbull warming, the covid scamdemic and elections - to name a few.
What worsens this is there are now a load of Freepers carrying their water, in particular for the Uke war.
Nonsense, it was 8.2 before this hike
Russia has recorded an increase in the average weighted interest rate on mortgage loans issued to residents in the national currency since May 2022. In March 2023, the mortgage loan rate amounted to nearly 8.2 percent
It probably doesn’t include preferential plans that are available to almost a half of the borrowers.
If you are an IT-worker you can get 5% with 15% downpayment.
Are you an IT worker in Russia?
There are similar preferences for military members, large families, residents of the Far East and other groups.
Interest rates are being raised because the economy is booming in Russia, growing faster than the Russian government expected last year.
The sanction war was supposed to cripple the Russian economy and lead to regime change. At best, the Russian economy was supposed to have years of negative growth.
None of that has happened and the Russian economy is growing much faster than the Russian government expected, on a pace for greater growth than we are experiencing this year:
https://www.rt.com/business/579228-russian-economy-recovery-putin/
The government’s responsible and balanced economic policy has made it possible to counter outside pressure, Mishustin reported, adding that the economy is now on course for recovery and continued growth. GDP rose by 0.5% in the first five months of this year, according to the prime minister, and is expected to grow by more than 2% by the end of the year.
He also highlighted growth in Russia’s real wages, which jumped by 4.2% from January through April. Real wages in April were 10.4% higher compared to the same period a year ago, while nominal wages grew by 11.4% in the same period, said the prime minister.
You're a vile human being, more obsessed with Russia than than well-being for citizens in the US and Western countries.
Apparently, The Slimes and its "reporters" compulsively lie whenever it and they get anywhere near the subject of The Ukraine...
In fact this statement of yours is patiently false and it can be verified by simply looking at chart.
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