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 Squid@lemmy.worldM
    link
    fedilink
    English
    arrow-up
    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.

    • humblebun@sh.itjust.works
      link
      fedilink
      English
      arrow-up
      3
      arrow-down
      34
      ·
      27 days ago

      Russia had 18 for a long time and it didn’t look like a big deal. All these talks look exactly like reversed copium meme from 2022