Russia’s central bank has raised its key interest rate by two percentage points to a record-high 21% in an effort to combat growing inflation.

Russia’s central bank on Friday raised its key interest rate by two percentage points to a record-high 21% in an effort to stem growing inflation as massive government spending on the military amid the fighting in Ukraine strains the economy’s capacity to produce goods and services and drives up workers’ wages.

  • Flying SquidMEnglish
    43•27 days ago

    Did you never take high school economics or did you just sleep through it?

    • The AssmanEnglish
      30•27 days ago

      I just assume they’re all 13 and haven’t taken the class yet

    • @[email protected]English
      -34•27 days ago

      In contrast to what Lemmy or any other internet community is claiming, I do not know economics enough to say what’s happening with the Russian economy for certain.

      But what can I see, is that inflation is not as high as in 2022 or 2014 and Russian authorities have downed the amount of foreign currency a company that sells something for dollars should exchange for roubles. And the war is still going on.

      So… notwithstanding the colossal sanctions, Russia is still standing 🤷🏼‍♂️ but the west has run out of things that they can sanction. Unless you think that potash, ammonia, natural gas, and nuclear fuel would be sanctioned in the near future. In this case, please consult reality. The choice that we’re about to see made is between abandoning Ukraine and military intervention.

      • Flying SquidMEnglish
        31•27 days ago

        You don’t have to know more than basic high school economics to understand why a 21% interest rate is disastrous for any nation. Russia isn’t special.

      • @WhatYouNeedEnglish
        4•25 days ago

        Hook me up with your dealer, as it seems they have some pretty potent stuff.