Central Bank: inflation expectations of the Russians are growing second month in a row

Central Bank: inflation expectations of the Russians are growing second month in a row


According to the results of a survey conducted by “Infom” by the order of the Bank of Russia, the share of respondents who consider that last month prices rose more than 50%, again up to the maximum level.

MOSCOW, 14 Oct. Inflationary expectations of the Russian population has increased — the median expected year-ahead inflation increased by 1.2 percentage points to 16%, according to a survey conducted by “Infom” by the order of the Bank of Russia.

In addition, the sense current inflation also rose. “The median expected inflation one year ahead rose for the second month in a row. Estimation of the observed inflation also increased, approaching maximum levels February — June 2015”, — stated in the study.

In particular, the proportion of respondents who felt that last month prices rose more than 50%, again up to the maximum level (17,9%), a significant decline in August.

Also the Russians to the questions about adaptation to new economic conditions were more likely to answer that will completely abandon some purchases or reduce the number of purchases or choose cheaper products.

Inflation expectations are one factor on the basis of which the Bank of Russia takes the decision to change the key rate. So, on 11 September, the Bank of Russia lowered its key interest rate and the rise in inflation expectations has left it unchanged at 11% per annum.