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Russia’s inflation reaches 9.5% this year, weekly data shows
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MOSCOW (Reuters) – Russia’s inflation has reached 9.5% this year, according to new weekly data showing that the consumer price index rose by 0.33% in the week leading up to Dec. 23, the statistical agency Rosstat reported on Wednesday.
MOSCOW (Reuters) – Russia’s inflation has reached 9.5% this year, according to new weekly data showing that the consumer price index rose by 0.33% in the week leading up to Dec. 23, the statistical agency Rosstat reported on Wednesday.
This data follows the central bank’s unexpected decision last week to maintain its key interest rate at 21%. The regulator said recent tightening has created conditions conducive to reducing inflation towards its target of 4%.
The agency indicated that seasonally volatile prices for fruit and vegetables contributed significantly to the overall increase, with cucumber prices rising by 8.3% and tomato prices by 1.9% in just one week.
Among less seasonally sensitive foods, the price of eggs increased by 1.7%, and frozen fish by 1.4%. The central bank had initially estimated this year’s inflation at a maximum of 8.5%.
The central bank’s monetary policy department’s head Andrei Gangan told the Interfax news agency on Dec. 24 that full-year inflation will be between 9.6% and 9.8%.
Inflationary expectations among households for the coming year also reached 13.9% in December, the highest level since the beginning of the year.
In a report on its inflationary expectations survey, the central bank said respondents were most concerned about rising prices for milk, dairy products, eggs, meat, and fish.
It also said respondents have begun to notice increases in the prices of home appliances and electronic devices.
(Reporting by Darya Korsunskaya, writing by Gleb Bryanski; editing by Barbara Lewis)
Inflation is the rate at which the general level of prices for goods and services rises, eroding purchasing power. It is typically measured by the Consumer Price Index (CPI).
The Consumer Price Index (CPI) is an economic indicator that measures the average change over time in the prices paid by consumers for a basket of goods and services.
Monetary policy refers to the actions taken by a country's central bank to control the money supply, interest rates, and inflation to achieve economic stability and growth.
The key interest rate is the rate at which a central bank lends money to commercial banks. It influences overall economic activity, including borrowing and spending.
Inflationary expectations are the beliefs that consumers and businesses hold regarding the future rate of inflation. These expectations can influence economic behavior and decision-making.
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