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Analysis: Bridget Kendall, BBC News, Sochi

Russia's central bank has raised its key interest rate to 9.5% from 8% as it seeks to tackle inflation.

The 1.5 percentage point increase was higher than expected, with analysts having forecast a rise of 0.5 percentage points.

The bank has already raised rates from 5.5% at the start of the year but the moves have failed to combat inflation.

A weak rouble and a ban on western food imports has kept inflation stubbornly high.

"If external conditions improve, and a persistent trend for lowering inflation and inflation expectations emerges, the Bank of Russia will be ready to start to ease its monetary policy," the central bank said.

The new rate will take effect on 5 November. The last rise was imposed at the end of July.

The central bank said that inflation had reached 8.4% and would remain above 8% until the end of March.

Economic growth is expected to almost grind to a halt in the final three months of this year and in the first quarter of 2015.

The rouble briefly firmed after the bank's decision was announced, but then fell back into negative territory.

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Microsoft has officially stopped selling retail copies of some versions of Windows 7 and 8.

The date to stop selling the software was set some time ago and should help Microsoft move people on to more recent versions of its operating system.

Separately, statistics suggest people are finally moving away from some very old versions of Windows.

The next version of Windows, called Windows 10, is due to be released in late 2015.

Old code

From 31 October, consumers could no longer buy copies of the Home Basic, Home Premium and Ultimate versions of Windows 7. Now, Windows 8 is also no longer available. The change affects both copies bought in shops or loaded on PCs and laptops.

The current version of Windows, 8.1, will be the default version offered on PCs.

The change will take time to feed through into the market, as many PC makers have large stocks of older versions of Windows and will continue to sell PCs running the software.

Those keen to get a computer running Windows 7 will be able to "downgrade" from 8.1 to Windows 7 Professional but relatively few PC firms offer this option.

Gordon Kelly, writing in Forbes, said the policy revealed "Microsoft's determination to distance itself from the original form of Windows 8" despite it being released just over two years ago.

The original version of Windows 8 did not prove popular because it did away with some familiar elements of the desktop version of the operating system.

By contrast, he said, Windows 7 has been available since late 2009 and is still very popular among users. About 53% of Windows users are on the various editions of Version 7 of Windows, he said. The more recently released Windows 8 has only grabbed a 6% market share and has already been surpassed by 8.1, said Mr Kelly.



The change will also clear the path for the arrival of Windows 10, he added.

Separately, market analysis reveals that the numbers of people using the venerable Windows XP operating system has suddenly seen a sharp decline. Data from Netmarketshare suggests that in October this year its share dropped from almost 24% to just over 17%. It is not yet clear what was behind the fall.

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Russia helped ousted Ukraine President Viktor Yanukovych to flee from violent protests in February, Russian leader Vladimir Putin has said.

It is the first time Mr Putin has said openly that he helped his ally to flee.

Russian speakers in Ukraine's east mostly backed Mr Yanukovych and were enraged at his overthrow, which helped to fuel months of violence.

Ukraine is electing a new parliament on Sunday, but eastern separatists will hold their own vote next month.

German Chancellor Angela Merkel has told Mr Putin that the elections in the east must be held under Ukrainian law.

Overthrow

Speaking to members of the Valdai discussion club in Sochi, Mr Putin said Mr Yanukovych had been removed by force.

Mr Yanukovych fled to Russia in February after protests in which more than 100 people died.

"I will say it openly - he asked to be driven away to Russia, which we did," the Russian president said.

Vladimir Putin used his speech in Sochi to criticise the US

He went on to criticise the pro-Western government in Kiev for using force against the rebels rather than conducting talks.

"We see the same thing over and again... suppress by force," he said.

Analysis: Bridget Kendall, BBC News, Sochi

Vladimir Putin looked calm and relaxed. He cracked jokes. He claimed Russia did not want confrontation and bore no grudge because of sanctions.

All that was needed, he said, was to restore the balance lost when the Soviet Union disappeared as a global counterweight to US power. All Russia wanted was for Russian interests to be respected.

That's the key to understanding Mr Putin these days: from the Ukraine crisis to violence in the Middle East, he claims that all the turbulence in the world is due to mistakes made by an American superpower which erroneously believed that it was the sole victor of the Cold War and could shape the world to suit its exclusive interests.

The problem, he says, is a world without rules where the US has run rampage.

Over Ukraine, he denies that Russia violated international law and or breached sovereignty. Russia's annexation of Crimea was fulfilling Crimea's right to self-determination. As for hostile propaganda to create a new enemy, this was an American tactic, aimed at Russia, not vice versa.

Indeed almost every criticism he made of the US could be applied to Russia itself. But in Mr Putin's scathing denunciation of American power, he simply refuses to acknowledge it.

Violence has continued in eastern Ukraine despite a ceasefire which came into place on 5 September.

At least 3,700 people have been killed in the conflict which broke out in April between Ukrainian forces and pro-Russian separatist rebels in the eastern regions of Donetsk and Luhansk.

Ukraine's government in Kiev hopes Sunday's parliamentary elections will help stabilise the country.

Approaching winter

Meanwhile, Germany's Chancellor Merkel has urged a quick resolution to the dispute over Russian gas supplies.

In a phone call, Ms Merkel called on Mr Putin "to firmly support the search for a swift solution before the approaching winter," a statement from her office said.

Russia cut off Ukraine's gas supplies in June over unpaid bills and has warned that supplies to Europe would be reduced if Ukraine tried to circumvent the blockade.

Representatives from Russia, Ukraine and the European Union will meet in Brussels next week to discuss the gas dispute.

Preparations are under way in Kiev for the parliamentary vote on Sunday

Government forces are still fighting separatists in the Donetsk region in eastern Ukraine

The Ukraine crisis has pushed relations between Russia and the West to a new low.

President Putin used his speech on Friday to accuse the US of destabilising the world by trying to enforce its will on other countries.

He rejected suggestions that Moscow is trying to recreate the Soviet Union or undermine neighbouring states.

"Claims that Russia is trying to rebuild some empire, is encroaching on the sovereignty of its neighbours are also groundless," he said.

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US mid-terms: Republicans win control of the Senate


Date: 2016-04-22; view: 833


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