NBB forecasts 5-6% inflation in 2020 – Kallaur
<p> MINSK, May 13 - PrimePress. The National Bank of Belarus (NBB) predicts inflation of 5-6% by the end of 2020, Chairman of the Board of the National Bank of Belarus (NBB) Pavel Kallaur said during the online briefing on May 13 following a Board meeting on monetary policy. </p> <p> </p> <p> As previously reported, the official inflation forecast for Belarus in 2020 was at or below 5%. </p> <p> </p> <p> “The acceleration of price growth in the first quarter [2.7% inflation in Jan-Mar 2020] will affect the annual inflation throughout the current year. As a result, it is forecasted at 5-6% in 2020. The annual price growth rate is likely to be at or below 5% early next year,” Kallaur said. </p> <p> </p> <p> External impacts will have a restraining effect on inflationary processes in Belarus and growth of prices for goods imported into Belarus. </p> <p> </p> <p> The National Bank predicts disinflationary effects on the part of the national economy. </p> <p> </p> <p> “A large number of enterprises, including small and medium ones, as well as many individual entrepreneurs, are experiencing difficulties in doing business in this situation. In the forecast period, weak external demand and the uncertain period of recovery will limit economic growth in Belarus. As a result, opportunities for rises in wages and household incomes are limited, therefore, a decrease in consumer demand and investment and credit activity of economic agents is expected,” he said. </p> <p> </p> <p> The National Bank does not expect inflationary influence of the exchange rate. The real rate of the Belarusian ruble is likely to remain close to its equilibrium level. </p> <p> </p> <p> As reported, inflation in Belarus was at 0.6% in April 2020 and 3.3% in January-April 2020. In 2019, inflation was at 4.7%, the official forecast being 5%. The official inflation forecast for 2020 is also 5%. End </p>
2020-05-14
Primepress
NBB forecasts 5-6% inflation in 2020 – Kallaur
MINSK, May 13 - PrimePress. The National Bank of Belarus (NBB) predicts inflation of 5-6% by the end of 2020, Chairman of the Board of the National Bank of Belarus (NBB) Pavel Kallaur said during the online briefing on May 13 following a Board meeting on monetary policy.
As previously reported, the official inflation forecast for Belarus in 2020 was at or below 5%.
“The acceleration of price growth in the first quarter [2.7% inflation in Jan-Mar 2020] will affect the annual inflation throughout the current year. As a result, it is forecasted at 5-6% in 2020. The annual price growth rate is likely to be at or below 5% early next year,” Kallaur said.
External impacts will have a restraining effect on inflationary processes in Belarus and growth of prices for goods imported into Belarus.
The National Bank predicts disinflationary effects on the part of the national economy.
“A large number of enterprises, including small and medium ones, as well as many individual entrepreneurs, are experiencing difficulties in doing business in this situation. In the forecast period, weak external demand and the uncertain period of recovery will limit economic growth in Belarus. As a result, opportunities for rises in wages and household incomes are limited, therefore, a decrease in consumer demand and investment and credit activity of economic agents is expected,” he said.
The National Bank does not expect inflationary influence of the exchange rate. The real rate of the Belarusian ruble is likely to remain close to its equilibrium level.
As reported, inflation in Belarus was at 0.6% in April 2020 and 3.3% in January-April 2020. In 2019, inflation was at 4.7%, the official forecast being 5%. The official inflation forecast for 2020 is also 5%. End