Inflation in June slightly lower than predicted - NBU

The decrease in inflation in June in annual terms was an expected development, while the figure was slightly below the forecast trajectory of the National Bank of Ukraine.

That is according to the NBU comments on the earlier released statistics on the dynamics of consumer inflation in June, which slowed down to 9.9% in annual terms.

According to the regulator's estimates, the decrease in inflation in June is due mainly to a tangible increase in the supply of food products thanks to more favorable weather conditions and imports growth.

In addition, the value of imported goods and goods with a significant import component was favorably affected by the strengthening of the hryvnia exchange rate, including caused by the regulator's tough monetary policy.

At the same time, it is noted that the core inflation indicator indicates that significant inflationary pressures remain in place due to sustainable consumer demand supported by high real wage growth rates.

Read alsoNBU official gives inflation outlook

It is also reported that the updated NBU inflation outlook for 2018-2020 will be made public on July 12.

As UNIAN reported, inflation in Ukraine in June 2018 in annual terms was at 9.9%, slowing from 11.7% a month earlier.

The National Bank predicts inflation at the end of 2018 at 8.9%, which almost corresponds to the government forecast of 9%.

The International Monetary Fund and the World Bank expect inflation in Ukraine this year at 10%.