New Russia bank boss to stand firm

The new head of Russia’s central bank has vowed to continue her predecessor’s battle against inflation, resisting calls for radical monetary stimulus and a weaker rouble to revive the economy. A first interest rate cut could come in the third quarter of this year, but only if inflation is clearly falling, Elvira Nabiullina said in an interview before she takes charge at the Bank of Russia this morning. Economic growth in Russia has weakened to 1.8 per cent in the first five months of this year.