Nabiullina calls inflation a “tax on saudi arabia telegram data the poor.” How the Central Bank plans to combat rising prices, protect pensioners’ savings, and why it refuses to fix the ruble to dollar exchange rate, Deputy Chairman of the Central Bank of the Russian Federation Alexey Zabotkin told aif.ru in an interview.
Save your wallet
— People complain about high interest rates on loans. Why did you make them so expensive?
The demand for goods and services
grown very strongly, and supply, for a number of reasons, has not kept up. Producers and sellers always react in the same way in such cases: by raising prices. If borrowed money were left cheap, demand would outpace supply even more. Therefore, a temporary period of high rates is in the interests of the whole society. This is necessary to achieve low inflation.
Why is inflation called a “tax on the poor
— Because the incomes of the less affluent strata of the population — salaries, pensions — are defined in nominal terms and are revised from case to case. And if their indexation does not keep up with inflation, then people become poorer. We have experienced this many times.
The rich have stocks, business stakes, real estate how dark fiber transforms your company’s infrastructure investments and other assets that are better protected from alb directory inflation. And the savings of ordinary people are mainly bank deposits. And raising the rate allows to compensate for the rise in prices due to inflation, to preserve the purchasing power of savings.