Prices grow far more slowly in February vs January
In February, the impact of tax and administrative measures on price growth abated.
A wide range of goods, prices for which depend more on demand rather than on one-off factors, were becoming expensive at a slower rate. Some of them continued cheapening (clothing and underwear, knitwear, footwear, and communication devices).
Contrastingly, February saw a surge in prices for medical and personal services. Demand for them still outstrips the capacities of service providers and medical companies as their potential is significantly limited by the current situation in the labour market.
According to the Bank of Russia’s forecast, given the monetary policy stance, annual inflation will decline to 4.5–5.5% in 2026 and stay close to 4% from 2027 onwards.
More details are available in the new issue of the information and analytical commentary Inflation in Russia.