Economist Smirnov said the link between the dollar and inflation is shrinking in Russia
MOSCOW, May 24 – RIA Novosti. Against the background of the impact of sanctions on Russia, the ruble is growing against the dollar. This is already helping to reduce inflation. However, the link between the previously direct and explicit dollar rate and prices in stores is shrinking, said To Evgeny Smirnov, Professor of the Department of World Economy and International Economic Relations at the State University of Management.
He reminded that in April of this year, annual inflation reached the highest levels of the last 20 years. However, the rise in consumer prices has slowed. “Therefore, there is every reason to believe that the annual inflation rate will be below 20%,” says the economist.
According to him, the Bank of Russia cannot suddenly cancel the restrictive measures – this will be a new shock for the financial system and exacerbate the economic downturn. Therefore, this process will not be fast. It also depends on much logistics – goods and components are sold primarily from warehouse stock. Smirnov estimates that the new deliveries are not debugged, but as soon as that happens, the price increase will continue.
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