The National Bank predicts an almost two-fold increase in inflation in Ukraine

Inflation in Ukraine by the end of 2024 will almost double compared to the previous year, reaching 9.7%. Such a forecast was published by the National Bank of Ukraine in its December macroeconomic and monetary review. This is a significant increase compared to the 2023 inflation rate of 5.1%.

"Actual consumer inflation accelerated (up to 9.7% y/y) and exceeded the trajectory of the NBU's forecast. Food inflation increased as a result of the more significant than expected impact of adverse weather conditions on agricultural crops. Both administrative inflation and fuel prices grew somewhat faster than expected. According to the National Bank's estimates, the rise in prices continued in November as well," this document states.

Speaking about the price increase, the National Bank singled out the following factors:

1. In October, food inflation accelerated rapidly due to the effects of hot weather without rain in the summer and autumn of the current year, which affected the yield, ripening times and quality parameters of food products, primarily a number of vegetables and fruits.

2. Due to the increase in the price of food raw materials, as well as the further increase in the production costs of enterprises for energy supply and labor wages, the prices of processed food products increased faster.

3. The growth of prices in food processing accelerated, primarily in the production of dairy, flour and meat products due to the increase in the cost of raw materials and production costs.

4. Prices for non-food products also accelerated growth, primarily under the influence of the exchange rate (currency) factor in previous periods. This probably had an impact on the slowing down of prices for clothes and shoes. Prices for services, in particular health care, communication, grew somewhat faster due to the increase in production costs.

5. Alcoholic and tobacco products became more expensive, in particular under the influence of the weakening of the hryvnia exchange rate in previous periods and the fight against shady products.

6. The growth of prices for pharmaceutical products, medical goods and equipment accelerated.

"In November, business expectations worsened against the background of the growing energy deficit, shortage of personnel and high-quality agricultural raw materials," the analysis of the National Bank notes.

spot_imgspot_imgspot_imgspot_img

popular

Share this post:

More like this
HERE

COVID-19 alters fathers' sperm and affects offspring

Experiments on mice have shown that infection of males with SARS-CoV-2 changes...

Why are outage schedules being introduced in Ukraine and when to expect them?

The Ministry of Energy explains: power outages in Ukraine are being introduced due to...

Head of the State Commission Serhiy Payuk tripled his income - there are payments from the European Commission

Head of the State Commission for Mineral Resources Serhiy Payuk and...

Singer Olya Polyakova revealed her daughter's real name for the first time

Singer Olya Polyakova publicly revealed the real name of her eldest daughter for the first time...

"Nothing will make him greater": former champion urges Usyk to end his career

Paul Malignaggi, former IBF and WBA world champion,...

Ukrainian pensioners abroad must undergo identification by December 31, 2025

The Pension Fund of Ukraine emphasizes: pensioners and recipients of insurance benefits,...

The cohabitant of the acting mayor of Odessa declared three apartments and an Audi Q5

Cohabitant of the acting mayor of Odessa, Igor Koval, Natalia Koval,...

A man was kidnapped in the center of Kharkiv and 14.6 thousand euros and $83 thousand in USDT were taken.

In Kharkiv, police detained three people suspected of kidnapping...