Inflation targeting by the bank of Russia: effectiveness, challenges and prospects of monetary policy

This article examines the theoretical foundations and practical implementation of the inflation targeting regime by the Bank of Russia during the period from 2014 to 2025. The key stages of this regime's development are systematised — from the transition to a floating exchange rate in November 2014 to the formation of a mature communication policy framework — illustrating each stage with quantitative data. Four key episodes of monetary policy are identified and analysed: the successful disinflation period of 2017–2019, adaptation to the pandemic of 2020, the geopolitical shock of 2022, and the secondary inflation cycle of 2023–2024. Based on an analysis of the key rate dynamics and actual inflation indicators for 2015–2025, it is demonstrated that the inflation targeting regime has shown high adaptability to external shocks, yet the sustained achievement of the 4% target remains an unresolved challenge. A comparative analysis of inflation targeting practices in Russia and selected foreign countries is provided. Practical recommendations for improving the effectiveness of monetary policy are formulated.