Central bank: Russian inflation may stand at 8–8.5% in 2016

MOSCOW, Mar 3 (PRIME) – Russian inflation may amount to 8–8.5% in 2016, if the current inflation trends persist, as seen by PRIME in central bank data based on short-term statistics, on Thursday.

Monthly inflation slowed down to 0.7% in February from 1% in January. Seasonally adjusted inflation fell to 0.6% from 0.7%, respectively.

“The price pressure of January–February is still high, although it somewhat decreased in late February. According to our estimates, if the current monthly dynamics of the consumer price index (CPI) will be preserved until the end of 2016, inflation will stand at 8–8.5% this year,” the central bank said.

According to a forecast by the regulator, inflation will amount to 5.5–6.5%, if the oil price averages at U.S. $50 per barrel and 7% if the oil price is $35 in 2016.

The Economic Development Ministry expects inflation at 6.4%.

On Wednesday, First Deputy Central Bank Chairwoman Ksenia Yudayeva said that Russia’s annual inflation can edge up in April–June on a low base effect.

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