Russia's Annual Inflation Slows to 5.31% in May; Putin Anticipates Interest Rate Cut

Official data revealed a slowdown in Russia's annual inflation rate in May 2026, registering at 5.31%, down from 5.58% at the end of April 2026.

This figure was slightly below analysts' forecasts, which had predicted a 5.36% inflation rate. The core consumer price index, which excludes goods affected by seasonal or administrative factors, stood at 100.55% on a monthly basis and 104.90% annually in May.

Regarding monthly inflation, prices increased by 0.17% in May, following rises of 0.14% in April, 0.60% in March, 0.73% in February, and 1.62% in January.

Putin Comments on Inflation Measures and Interest Rate Outlook

During a government meeting yesterday, Russian President Vladimir Putin stated that the measures implemented by monetary and financial authorities to combat inflation have begun to yield tangible results. He expressed his expectation for a forthcoming cut in the key interest rate.

The Board of the Central Bank of Russia is scheduled to hold its next meeting on June 19, 2026, where it will decide the future of the current key interest rate, which stands at 14.5%. This decision is being closely watched by markets and investors.