Russian draft budget for 3-year period disinflationary in nature; dynamics of credit more important for monetary policy - executive office deputy head

MOSCOW. Oct 1 (Interfax) - The draft budget for 2027-2029 is disinflationary in nature, and the issue of credit growth is more acute for monetary policy, Deputy Chief of Staff of the Presidential Executive Office Maxim Oreshkin said.

"Monetary policy depends not only on the budget. In this regard, in the form in which the government has now presented the budget, it does not carry inflationary risks for the economy; instead it is disinflationary in nature. Here lending and retail lending are far more important; growth there is precisely what leads more to risks in terms of possible changes in monetary policy. Therefore everything here essentially depends on the Central Bank and the situation specifically in the banking sphere from the point of view of future monetary policy," Oreshkin told Interfax.