Siluanov predicted a decrease in inflation in the first half of 2023

In the first half of 2023, inflation in Russia will be at a low level. This statement was made by Finance Minister Anton Siluanov.

“Inflation is down. In the first half of next year, it will definitely be at a low level,” Siluanov said.

At a meeting of the Supreme Eurasian Economic Council (SEEC) in Bishkek on December 9, President Vladimir Putin declaredthat in Russia there is a noticeable trend towards a decrease in inflation. He added that reducing inflation in Russia is also important for other countries. According to him, the macroeconomic indicators of the Russian economy “one way or another” affect the economies of other SEEC countries. Putin declaredthat inflation by the end of 2022 may reach 12.2%, and by the results of the first quarter of 2023 this figure may drop to 5% or lower.

Chairman of the Bank of Russia Elvira Nabiullina statedthat annual inflation in Russia will continue to slow down in the coming months. The Central Bank Chairman stressed that the annual inflation rate, if it is very volatile, says little about price pressure, as it is overloaded with past shocks. So, in the spring, annual inflation may even drop below 4%, but this will practically not characterize the price dynamics here and now, she noted.

The Central Bank expects to return inflation to the target of 4% in 2024. Next year, the regulator expects inflation in the range of 5-7%.

The Ministry of Economics predicted inflation by the end of the year at 12.4%. A year earlier, this figure was 8.4%. It is assumed that in 2023 consumer price growth will be at the level of 5.5%, and in the future it will reach the target level of 4%.