UPDATE: Ministry: Russia may see deflation in August, early September

(Adds details in last paragraph)

MOSCOW, Aug 3 (PRIME) -- Russia may be in for deflation in August and early September, the Economic Development Ministry said in a statement on Wednesday.

“Due to expectations of a good harvest, deflation is possible in some weeks of August and in early September,” it said.

Earlier the Federal State Statistics Service said that Russian consumer prices fell 0.1% from July 26 through Monday, the country’s first deflation in five years, after three weeks of 0.1% inflation, while the price rise since January 1 amounted to 4%.

The ministry also confirmed its preliminary estimate of Russia’s inflation in July -- 0.5-0.7% month-on-month and 7.2-7.4% year-on-year.

End