Annual inflation accelerated to 8.59%

In June, Russia saw an increase in annual inflation to 8.59%, with consumer prices rising by 0.64% over the month. Food prices experienced a slight increase of 0.63%, but certain items like apples, carrots, lemons, and beets became more expensive. Meanwhile, prices for tomatoes, white cabbage, cucumbers, and bananas decreased. The inflation rate is attributed to issues in the labor market, logistics costs, and volatility of the ruble exchange rate. Experts predict that consumer price growth will peak in July 2024 due to increased regulated tariffs. The Bank of Russia is considering raising the key rate up to 18% to combat inflation, with a new medium-term inflation forecast to be released at the end of July.

In June, annual inflation accelerated to 8.59% compared to 8.3% in May. According to Rosstat, consumer prices increased by 0.64% over the month. Food prices rose by 0.63% compared to the previous month and by 9.81% year on year. Including prices for apples increased by 10.2%, carrots became more expensive by 6.3%, lemons - by 5%, beets - by 4.3%, onions - by 4.1%. At the same time, prices for tomatoes decreased by 13.3%, white cabbage fell by 10.1%, cucumbers by 7.7%, bananas by 2.3%, garlic by 1.9%, grapes by 1.8%. For price dynamics in Russia, the problems of the labor market, rising costs of logistics, high volatility of the ruble exchange rate, and the complexity of cross-border payments remain relevant - pressure on prices from production costs remains, says Daria Tarasenko, senior analyst at the Center for Economic Forecasting of Gazprombank. “The structure of economic growth in Russia continues to change, these changes are accompanied by a redistribution of resources and ...