Russia’s Central Bank Wants You to Believe; Governor Elvira Nabiullina has introduced her own version of forward guidance. The results are mixed.

Elvira Nabiullina file photo

(Bloomberg – – Anna Andrianova – November 29, 2016) [Charts here] When central bankers start making predictions about what they’re going to do in the future, reality often has other plans. Just ask Bank of England Governor Mark Carney, or Federal Reserve Chair Janet Yellen. Recent attempts at so-called “forward guidance” — telling the public how interest rates […]

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Russia typifies link between high interest rates and corruption

Cropped File Photo of Two Men in Business Suits Shaking Hands and Passing Cash

(Business New Europe – – Ben Aris in Moscow – July 25, 2013) Corruption in Russia has helped drive up interest rates on loans to the point where it’s choking off economic growth. “Rates are high now and that makes it hard to do business,” Garegin Tosunyan, head of the Russian Association of Banks, said at the St Petersburg […]

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