OREANDA-NEWS Price growth in Russia slowed significantly in June, which indicates the effectiveness of the Central Bank's efforts, Bloomberg analysts write in an article entitled "Russia has won a long-awaited victory in the fight against inflation."

"According to the Central Bank, the annual inflation rate remains at 9%, which is significantly higher than the target of 4%. At the same time, the current price increase now corresponds to this value after slowing down compared to the previous month," the article says.

According to Bloomberg, the significant slowdown in price growth in June was the first serious sign that the Bank of Russia's efforts had borne fruit after a prolonged period of tight monetary policy.

On June 6, the Bank of Russia lowered its key interest rate for the first time in almost three years, to 20% per annum from a record level of 21%. It has been at its historical maximum for more than seven months since the end of October last year.

At the same time, the regulator maintained a neutral signal and did not outline the direction of further steps: decisions will be made depending on the speed and sustainability of the decline in inflation and inflation expectations.

At the Financial Congress of the Bank of Russia in early July, the head of the Central Bank, Elvira Nabiullina, noted that the slowdown in inflation in the country was proceeding faster than expected by the regulator.

According to Rosstat, inflation in Russia slowed to 0.2% in monthly terms in July from 0.43% in May, and to 9.4% in annual terms from 9.88% a month earlier.