Support The Moscow Times!

Inflation Jumps to 11-Month High

The inflation rate rose to the highest in 11 months in November, pressuring the Central Bank to raise interest rates to keep a lid on consumer-price growth.

Inflation gained to an annual 8.1 percent, compared with 7.5 percent in October, the State Statistics Service said Friday. The median estimate in a Bloomberg survey was for 8 percent.

Prices advanced 0.8 percent in the month. Annual inflation is up for the fourth month. Inflation risks “due to monetary factors” are at an acceptable level, the Central Bank said Nov. 26, when it kept its main interest rates at a record low for a sixth month.

“As soon as we see some growth” in demand-side inflation, the Central Bank may react on three fronts, First Deputy Chairman Alexei Ulyukayev said Dec. 1. “First, the policy rate; second, the reserve requirements; and third, the exchange rate performance. We’ll be watching the situation.”

Read more

Independent journalism isn’t dead. You can help keep it alive.

The Moscow Times’ team of journalists has been first with the big stories on the coronavirus crisis in Russia since day one. Our exclusives and on-the-ground reporting are being read and shared by many high-profile journalists.

We wouldn’t be able to produce this crucial journalism without the support of our loyal readers. Please consider making a donation to The Moscow Times to help us continue covering this historic time in the world’s largest country.