Inflation in Ukraine in July higher than expected – NBU

Ukraine's actual inflation recorded at 9.1% in July 2019 year-over-year is higher than the figure projected by the National Bank of Ukraine for the said month in its inflationary outlook.

The deviation is due to the higher growth pace of prices of raw food products, while core inflation is in line with forecasts, the NBU said.

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The regulator emphasized that tight monetary policy remained a significant factor restraining fundamental pressure on prices, in particular, through the forex rate channel.

"Actual inflation indicators show that the overall inflation rate exceeded the trajectory forecast by the National Bank, primarily because of factors related to food supply, in particular, due to adverse weather conditions," it said.

At the same time, the NBU said, the fundamental inflationary pressure as a whole meets the regulator's expectations.

As UNIAN reported earlier, inflation in Ukraine in July 2019 in annual terms – compared to July 2018 – was 9.1%, accelerating from 9% (year-over-year) a month earlier.