The Bank of Russia raised its inflation forecast for the year to 6-7 percent
Along with another increase in the key rate to 13 percent per annum, the Central Bank revised the inflation forecast for 2023 from 5-6.5 percent per annum to 6-7 percent. This is stated in message on the regulator’s website.
As of September 11, annual inflation rose to 5.5 percent (4.3 percent in July, 5.2 percent in August). Looking only at the last three months, seasonally adjusted annualized inflation rose to nine percent. The same core inflation rate increased to 8.4 percent.
The regulator noted that growing inflationary pressure is manifesting itself across an increasingly wide range of goods and services. However, the forecast for 2024 is left at 4 percent and will be maintained for the following years.
As for the rate, the Central Bank does not rule out further tightening of monetary policy at the next meetings. The next one will take place on October 27.
Earlier it became known that the Ministry of Economic Development expects inflation to be 7.5 percent at the end of the year, and 4.5 percent in 2024. Such estimates are contained in the updated forecast. Its authors explained that the main impact on prices will be the falling ruble, and the main effect will be noticeable by the end of the year.
#Central #Bank #raised #inflation #forecast #year