Russians feel more positive about their financial situation and prices

According to an October opinion poll of inFOM polling institute commissioned by the Bank of Russia, results have shown a more positive attitude of the general public to current price movements. Respondents were also more positive about their financial situation compared to previous periods.

The median estimate of observed inflation is in October at its lowest point since early 2015. At the same time, the arrival of autumn means that there is more concern among respondents about price increases, particularly for fruits, vegetables, dairy products. By contrast, respondents are less concerned about hikes in utility and housing tariffs.

The expected median inflation for the next 12 months calculated by inFOM in October has been lowest since mid-2014 after noticeable growth in September. Unsteady inflation expectations indicate that inflation risks still exist.

Income growth and inflation slowdown produced a positive effect on the past year’s forecasts of the financial situation. Nevertheless, more than half of respondents believe that it is better to save more and spend less. However, respondents are inclined to make major purchases at the present time.