National Bank notes a greater risk of more significant deviations of inflation.
The national Bank of Ukraine (NBU) notes the increased risk of more significant deviations of inflation from the Central point of the target range of 8% +/- 2 percentage points at the end of 2017 than the July forecast of the national Bank.
This reports the press service of the regulator.
“The current dynamics of the consumer price index (CPI) and its components indicates a further increase in risk is more significant deviations of inflation from the Central point of the target range of 8% +/- 2 percentage points at the end of the current year than provided for in the July forecast. The underlying inflationary pressures will remain moderate, a General inflation closer to the Central point of the target range in the second quarter of 2018”, – stated in the message NBU.
The regulator has reminded that in August CPI fell 0.1% on a monthly measurement (in July and increased 0.2% m/m) due to seasonal declines in prices for fruit and vegetables, clothes and shoes. In annual terms, consumer inflation was 16.2%. The underlying inflationary pressure remained moderate, while core inflation accelerated slightly: the base index of consumer prices rose 0.2% m/m and by 7.8% in annual terms.
“The actual inflation rate in annual terms has exceeded the trajectory of the National Bank forecast published in the inflation report for July 2017. Primarily, this is due to the higher growth rate of prices for food products due to further mapping of factors on the supply side (adverse weather conditions in the spring of this year, significant exports of meat and dairy products), as well as increased pressure on prices from production costs”, – noted in comments.
According to the proposals of the NBU Board on the Main principles of monetary-credit policy of Ukraine to 2018 medium-term target range by the end of the second quarter of 2018 will be 7% +/- 2 percentage points
© 2017 – 2019, paradox. All rights reserved.
