According to the Bank of Russia, inflation in the country totaled 3% in annual terms in December 2020.
“The Bank of Russia forecasts a continuation of annual inflation decline in early 2020, in particular on account of withdrawing the effect of a VAT rate increase at the beginning of 2019 from the estimate,” the regulator says.
Inflation can decelerate to 2.5-2.6% year-on-year by the end of January in Russia, department head of the Central Bank Alexander Morozov told reporters earlier.
The regulator reminded me that annual inflation in December 2019 was 3%.
The central bank expects that by the end of 2020, annual inflation will be 3.5-4% “and will remain near 4% in the future.” Earlier, it estimated inflation for 2019 at 3%.
On January 10, the Ministry of Economic Development announced that it expects a further slowdown in inflation to 2.2-2.3% in the first quarter of 2020.