Russia’s central bank hikes rates by 350bps to 12%

Russia’s central bank hiked interest rates by 350 basis points to 12 percent at an emergency meeting on Tuesday, a move to halt a rapid depreciation of the country’s rouble currency.

The meeting came after the rouble plummeted past the 100 threshold against the dollar on Monday, dragged down by the impact of Western sanctions on Russia’s balance of trade and as military spending soars.

It worth mentioning that Russia’s annual inflation rate stood at an annual 4.4 percent over the first seven days of August.