Elvira Nabiullina: Transformation of Russian economy is marathon with barriers — Central Bank chief
Ed Note: It is still surprising that Nabiullina was accused of being an Atlanticist who worked hand in hand with the US Central Bank. Now we look back and she was and is an excellent economist and throughout the sanctions, did not lose a beat as Russian Central Bank Governor. This is a fair note of caution as the Russian economy is growing very fast. Inflation is edging up a tad and the Central Bank will most probably increase its key rate a tad in July.
“We therefore need to estimate forces and understand how we work with constraints,” Elvira Nabiullina added
ST. PETERSBURG, July 3. /TASS/. Current transformation of the Russian economy is a marathon race with barriers and not a short distance, Governor of the Bank of Russia Elvira Nabiullina said.
“We have recovered quickly, quicker than we expected ourselves, than expected by many. Growth rates are very high in 2023. Growth rates are high now and certainly, everybody wants to keep them. However, it seems to me that it is important for us to comprehend the current situation and understand that this is a long-distance run. This is not a short run but indeed a marathon distance, and furthermore, across the country and with barriers. We therefore need to estimate forces and understand how we work with constraints,” she said.
It is important to think how to respond to long-term challenges, Nabiullina noted. “Mere crisis response measures and the use of reserves should not be the response to such permanent structural change of the economy. This is rethinking of priorities, from my point of view, and reallocation of resources,” she added.
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