The Central Bank announced a decrease in inflationary expectations of Russians

Inflationary expectations of Russians for the year ahead in September fell by 0.2 pp compared with August, to 12.3%, according to the materials of the Central Bank of the Russian Federation. At the same time, the indicator remains close to multi-year highs.

“The decrease in the estimates of the observed and expected inflation in September was largely due to the slowdown in the growth of prices for many frequently purchased goods by the population,” the document says (.pdf). The Central Bank pointed out that against the background of a seasonal decline in prices for fruits and vegetables, the number of respondents who named fruits and vegetables among the most expensive goods is decreasing.

According to the forecast presented in the explanatory note to the budget of the Russian Federation until 2024, the expected inflation by the end of the current year will be 5.8%, in the next three – 4%. Earlier, the Ministry of Economic Development downgraded the inflation forecast for 2021 to 5.8% from 5% indexed in July.

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