Rosstat: Annual inflation at minimum since July 2020

MOSCOW, April 12 – RIA Novosti. Inflation in Russia on an annual basis in March rose from 0.46% in February to 0.37% – from 10.99% a month ago to 3.51%, reported Wednesday Rosstat.

The price increase in March returned to November last year with 0.37%, annual inflation at its lowest level since July 2020.

“In March 2023 compared to February 2023, the consumer price index was 100.37% – 101.67% compared to December 2022,” the document says.

In Russia, food inflation (including alcoholic beverages) decreased to 0.13% on a monthly basis from 0.79% in February. On an annual basis, the increase in food prices was 2.57%. The price of non-food products increased by 0.14% – 0.12% year-on-year last month. In March, services increased by 0.97% compared to February; annual price increase – 9.73%.

As stated in the publication of the statistical office, a consumer price increase of 0.5% and more was recorded in 20 regions of the Russian Federation. The largest (0.7%) in the Republic of Karelia, Kaluga, Moscow and Tomsk regions, due to the 1.2-2.4% increase in service costs.

Russian Central Bank Governor Elvira Nabiullina said earlier on Wednesday that annual inflation in Russia will continue to fall in April. The Central Bank of Russia will update its macro forecast at its April meeting. According to the regulator’s February forecast, inflation in the country will be around 5-7% by the end of the year. The Ministry of Economic Development predicts annual inflation as 5.5%, the ministry also plans to update its forecast in April.

Maxim Reshetnikov, head of the Ministry of Economic Development, previously announced that by the end of the first quarter, inflation will fall significantly from year to year. This will be because in the spring of 2022 the peak of the price increase will leave the base. Reshetnikov also did not exclude that annual inflation will remain below the target level of 4% for a while in the second quarter.