Belarus economy’s disinflationary impact diminished - National Bank
<p> MINSK, Aug 4 - PrimePress. The economy’s disinflationary impact has decreased in Belarus, its impact on inflation has become close to neutral. This is stated in the regulator’s report about the dynamics and factors of changes in consumer prices and tariffs in Q2 2021, published on the website of the National Bank of Belarus (NBB). </p> <p> </p> <p> “Inflation continued to accelerate in the second quarter of 2021. The year-on-year growth in consumer prices amounted to 9.9% in June 2021. A further increase in annual inflation was influenced by increased pressure fr om free market prices, due to both the continuing influence of factors on the logistics side and the faster expansion of demand compared to the ability to increase supply volumes. In addition, inflation expectations of private households continued to rise. Monetary policy was aimed at limiting inflationary processes as well as creating conditions for a recovery in economic activity,” the NBB report says. </p> <p> </p> <p> Core inflation accelerated from 8.2% in March to 10.1% in June 2021 in year-on-year terms. According to the National Bank, almost half of the increase in free prices was due to the dynamics of food prices. </p> <p> </p> <p> “The government measures taken at the end of the first quarter of 2021 to lim it the rise in prices of socially important goods have contributed to limiting the pro-inflationary impact of external shocks and a slight slowdown in the appreciation of basic food items. In the non-food segment, prices of imported goods (clothes, TV and radio appliances, construction materials, cars, household chemicals, perfumes and cosmetics) continued to grow. In the services segment, the highest tear-on-year growth rate was registered in the cost of air travel, international trains, veterinary, tourist and medical services,” said the National Bank. </p> <p> </p> <p> Trend inflation accelerated to 8.5% year on year in June 2021 (6.7% in March 2021). The structure of consumer price dynamics continued to shift towards an increase in the share of items whose prices are growing the fastest. In June 2021 it reached 43% (36% in March 2021). At the same time, the share of goods and services whose prices and tariffs decreased or increased less than 5% year on year fell in June 2021 to 19% (34% in March 2021). </p> <p> </p> <p> Regulated prices and tariffs increased by 9.6% year on year in June 2021 (8.7% in March 2021). Much of the acceleration in price growth for the group is due to the increase in motor fuel prices, the National Bank said. End </p>
2021-08-05
Primepress
Belarus economy’s disinflationary impact diminished - National Bank
MINSK, Aug 4 - PrimePress. The economy’s disinflationary impact has decreased in Belarus, its impact on inflation has become close to neutral. This is stated in the regulator’s report about the dynamics and factors of changes in consumer prices and tariffs in Q2 2021, published on the website of the National Bank of Belarus (NBB).
“Inflation continued to accelerate in the second quarter of 2021. The year-on-year growth in consumer prices amounted to 9.9% in June 2021. A further increase in annual inflation was influenced by increased pressure fr om free market prices, due to both the continuing influence of factors on the logistics side and the faster expansion of demand compared to the ability to increase supply volumes. In addition, inflation expectations of private households continued to rise. Monetary policy was aimed at limiting inflationary processes as well as creating conditions for a recovery in economic activity,” the NBB report says.
Core inflation accelerated from 8.2% in March to 10.1% in June 2021 in year-on-year terms. According to the National Bank, almost half of the increase in free prices was due to the dynamics of food prices.
“The government measures taken at the end of the first quarter of 2021 to lim it the rise in prices of socially important goods have contributed to limiting the pro-inflationary impact of external shocks and a slight slowdown in the appreciation of basic food items. In the non-food segment, prices of imported goods (clothes, TV and radio appliances, construction materials, cars, household chemicals, perfumes and cosmetics) continued to grow. In the services segment, the highest tear-on-year growth rate was registered in the cost of air travel, international trains, veterinary, tourist and medical services,” said the National Bank.
Trend inflation accelerated to 8.5% year on year in June 2021 (6.7% in March 2021). The structure of consumer price dynamics continued to shift towards an increase in the share of items whose prices are growing the fastest. In June 2021 it reached 43% (36% in March 2021). At the same time, the share of goods and services whose prices and tariffs decreased or increased less than 5% year on year fell in June 2021 to 19% (34% in March 2021).
Regulated prices and tariffs increased by 9.6% year on year in June 2021 (8.7% in March 2021). Much of the acceleration in price growth for the group is due to the increase in motor fuel prices, the National Bank said. End