Russia Inflation Rate Falls to Lowest Since 1991

Consumer prices in Russia increased 3.3 percent year-on-year in August of 2017, below a 3.9 percent rise in July and lower than market expectations of 3.7 percent. It is the smallest inflation rate since at least 1991, mainly due to a slowdown in cost of food and transport. The inflation stayed below the central bank's 4 percent target for the second month.

Prices rose at a slower pace for food and non-alcoholic beverages (2.3 percent from 3.8 percent in July); transport (4.2 percent from 4.3 percent); clothing and footwear (4.7 percent from 4.9 percent); furnishings and household equipment (1.9 percent from 2 percent); alcoholic beverages and tobacco (5.3 percent from 5.7 percent) and miscellaneous goods and services (2.9 percent from 3.52 percent). On the other hand, inflation was steady for hotels and restaurants (3.1 percent) and rose for housing and utilities (4.5 percent from 4.4 percent).

Annual core inflation rate declined to 3 percent from 3.3 percent in the previous month.

On a monthly basis, consumer prices went down 0.5 percent, the biggest monthly drop since at least 1992.

Russia Inflation Rate Falls to Lowest Since 1991

Federal State Statistics Service | Joana Taborda |
9/5/2017 1:49:20 PM