Russia’s Economic Development Ministry has downgraded its outlook on inflation in the country for the end of 2021 to 5% from 4.3% expected in April, the representative of the ministry said.
Nevertheless, the ministry notes that the recent upsurge in inflation as of July 5, when annual inflation in Russia sped up to 6.6%, the highest level since 2016, was the last. "Inflation is starting to peter out, this is the last upsurge we register," he said.
Meanwhile, the ministry has not changed its inflation outlook of 4% for 2022-2024.
"Inflation currently stands above the built-in trajectory, there was a second peak in June. The international environment risks persist. Meaning we understand that there was a correction on June, with prices, particularly, of food, declining on global markets compared to the May level," TASS cited the representative as saying.
"Nevertheless, the current situation is unstable, which is why we see now that it will take more time for the situation on the global markets to normalize. There are also many one-time factors," he explained.
