Central Bank Rate Cuts of 100 Basis Points in Egypt and 50 BPS in Russia
February 13, 2026
Egyptian consumer price inflation, which crested in September 2023 at 38.0%, receded to 11.7% two years later and is currently at 11.9%. The Central Bank of Egypt‘s policy interest rate over the past ten months has been lowered from 27.25% ti 19.0%, including a 100-basis point cut announced yesterday. Board members “will continue to remain vigilant and stands prepared to adjust its policy instruments as needed to fulfill its price-stability mandate, steering inflation toward the CBE target of 7 percent (± 2 p.p.) in Q4 2026, on average.”
The Bank of Russia’s key interest rate was unexpectedly cut today by a further 50 basis points to 15.5%. That decision brings its cumulative decline since early last June to 550 basis points. The rate level is now its lowest since the first half of December 2023 but still about double the 7.5% level maintained from September 2022 to July 2023. Today’s statement acknowledges that Russian inflation jumped significantly last month due to higher VAT and excise taxes, more costly fruits and vegetables, and increased administered prices at the start of the new year, but officials see these factors as one-off shocks and project that disinflationary trends will return.
Copyright 2026, Larry Greenberg. All rights reserved.
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