Russian central bank says room for further key rate cuts has narrowed after growth in fuel prices

Russian central bank will take into account the impact of rising domestic fuel prices and its secondary effects at its next rate-setting meetings, the regulator said in the minutes to the June 19 meeting, published on Wednesday.

The central bank also said that the room for further key rate cuts has narrowed while it expects global prices for oil, Russia's main export commodity, to remain high in near future before gradually decreasing.

At the June 19 meeting, the central bank cut its key interest rate (RUCBIR=ECI) to 14.25% from 14.5% , highlighting inflation risks arising from an increase in domestic fuel prices, which was triggered caused by Ukrainian attacks on oil refineries.