Talking Trends: price growth slows significantly
27 May 2025
News
In the first half of the second quarter, seasonally adjusted growth in consumer prices continued to decline. The deceleration was in many ways facilitated by a stronger ruble, coming as a result of the tight monetary policy helping cool down demand, including for imports.
At the same time, consumer demand remains strong. Growing moderately, the economy is moving back to a balanced pace of growth. A certain slowdown in growth is mainly due to changes in demand for Russian exports.
For inflation to steadily decline to 4% and stabilise at this level, tight monetary conditions will need to be maintained for a sustained period.
More details are presented in Talking Trends, a Bank of Russia bulletin.
Preview photo: iSKYDANCER / Shutterstock / Fotodom