First thoughts on Russia's new central bank governor

The decision by President Putin to nominate his economic advisor, Elvira Nabiullina, to be the next governor of the Central Bank of Russia is a blow to hopes for a more independent monetary policy over the coming years but is unlikely to lead to major changes in the current framework. Policy is likely to be looser than would otherwise have been the case, but even large interest rate cuts are unlikely to do much to stimulate a flagging economy.