On the results of research conduct at the Bank of Russia from the a crm system consolidates all customer summer of 2021 to the spring of 2023, we believe that there is inde a subject for discussion of arguments for and against rucing the inflation target from its current level of close to 4%. But, in our opinion, this process, if such a decision is made. Should be very gradual and citizens and businesses ne to start preparing for this very early.
Gradually mean? That the decision
to lower after the 4% target is reach and will be maintain at this level for some time?
— This means that several years must pass from the moment the intention to move to a lower target is announc until inflation stabilizes at the new target. This is consistent with the practice of the few central banks — Brazil, for example — that have done this. The transition to a lower inflation target will be easier when current price dynamics have stabiliz.
Response to the second part of the question
The possibility of increasing the target. I will repeat what avoiding financial losses was said back in the summer of 2021, when we start the review of the monetary policy: the Bank of Russia is not considering the possibility america email of increasing the inflation target, since this will be perceiv by both citizens and businesses as a threat to price stability.
