Annual inflation in Russia accelerated to 3.86%

Annual inflation in Russia in the week from 11 to 17 July accelerated to 3.86%, should from the data of the Ministry of Economic Development. A week earlier, the growth was 3.59%. According to Rosstat, the rise in prices since the beginning of the year made up 3.15%.

The rise in prices was noted for cabbage (up 5.2%), bananas (up 2.7%), apples (up 2.3%), as well as sugar (up 1.1%), according to Rosstat. At the same time, prices for vermicelli fell (by 0.9%), buckwheat (by 0.7%) and pasta (by 0.5%).

The Ministry of Economic Development notes that non-food products have risen in price by 0.24%. Light vehicles went up by 0.23%. At the same time, the growth in prices for household and tourist services slowed down and amounted to 0.18% (against 0.27% a week earlier).

On July 14, the press service of the Bank of Russia reported that annual inflation in the country would continue to accelerate in the coming months against the backdrop of last year’s low base. At the same time, an increase in the current rate of price growth will also have an additional impact.

The Ministry of Economic Development predicted that inflation at the end of 2023 would drop to 5.3%. The Board of Directors of the Central Bank at a meeting on June 9 for the sixth time in a row since September 2022 left the key rate at 7.5% per annum. According to the regulator’s forecast, in the second quarter inflation will be at the level of 3.6%, and by the end of the year it may reach 4.5-6.5%. The next meeting on the key rate will be held on July 21.