Lukashenko: Belarus’ govt goes for single-digit inflation target in 2022 – 6%

<p> MINSK, Dec 3 - PrimePress. Belarus’ authorities plan to have a single-digit inflation of 6% next year. President of Belarus Alexander Lukashenko made a statement to this effect at the session held on 3 December to discuss the country’s social and economic development in 2022. </p> <p>   </p> <p> Lukashenko demanded that measures should be taken to ‘tame’ inflation. “Issues related to the monetary policy have always been discussed in some kind of a simplified format. It cannot be like that this time. High inflation is the most discussed topic at the moment. There are arguments that inflation is ‘imported', but there is no need to focus on them only,” said Lukashenko. </p> <p>   </p> <p> In his words, it is for the first time in several years that the inflation level was above the forecast level of 5%. Prices for socially important goods went up almost 7% on average. “We have not overcome this trend,” the head of state said. “Prices for certain good of prime necessity increased by 10-100%,” said Lukashenko. </p> <p>   </p> <p> In his words, manufacturers of socially important goods and trade outlets have found loopholes allowing them to get around restrictions and raise prices. Lukashenko asked the prime minister [Roman Golovchenko] and the chairman of the board of the National Bank [Pavel Kallaur] to focus on this issue in their reports. </p> <p>   </p> <p> According to Lukashenko, there are many factors of price hikes in the country, and he wants explanations. “Indeed, the inflation level has been influenced by external factors to a certain extent. Of course, Belarus has an open economy. The country imports iron, metals, raw materials and other parts and to pay more for them. They did not work during the pandemic and printed many dollars and euros. This resulted in inflation growth. There are external factors, no one denies it. But we should not relax and say that we have higher prices because of higher prices in America, Russia, China or elsewhere,” said Lukashenko. </p> <p>   </p> <p> In his words, price factors should affect the situation in 2022. “There are many other issues, from the risks from the expansion of the so-called sanctions which the West regularly calls for to the danger of the pandemic spread, this mutating virus,” he said. “This is an additional burden on the overloaded social security fund and the healthcare industry in general,” said Lukashenko. </p> <p>   </p> <p> Addressing Kallaur, Lukashenko said that measures to curb inflation should not “come at the expense of the country's economic development”. </p> <p>   </p> <p> On 24 November, head of research and strategic development at the National Bank of Belarus (NBB) Natalia Mironchik made the following statement during a roundtable: “The National Bank’s policy will aim to stabilise inflation with minimal cost to the economy. 6% is the inflation target for 2022. The main thing is to keep interest rates in the economy in real terms at a positive level.” As previously reported, Belarus inflation stood at 0.9% in October 2021 and 8.5% in January-October. In October 2021, prices rose by 10.5% year on year, in January-October 2021 by 9.3% year on year. End </p>

2021-12-04

Primepress