The Ministry of Economic Development has improved the forecast for annual inflation to 12-13%

The Ministry of Economy told Izvestia that it had again improved its inflation forecast for the end of 2022. It will amount to 12-13% instead of the previously expected 13.4%.

The department expects that despite the stabilization of the situation on the foreign exchange market and the revival of consumer activity, as well as the end of the seasonal reduction in the cost of fruits and vegetables, in the autumn the annual inflation rate will continue to slow down.

“The main contribution to deflation in the summer months was made by a decrease in prices for fruits and vegetables, non-food products,” the Ministry of Economic Development said.

Previously, inflation at the end of 2022 was forecast at 13.4%. It is also noted that the monthly deflation may persist until September inclusive, but already due to the seasonal decline in prices for fruits and vegetables.

During speeches at the Eastern Economic Forum on September 7, Russian President Vladimir Putin said that price growth in 2022 would be approximately 12%.

Read more in the exclusive Izvestia article:

“A valuable contribution: in September, deflation is predicted at the level of 0.15%”