Inflation expectations rise in March

According to a survey by inFOM, respondents estimate inflation at 10.1% in the next 12 months. Businesses’ short-term price expectations also rose in March driven by the expected growth of demand and continuing increase in costs.

Analysts’ inflation forecasts for 2021 and 2022 and market expectations (the estimates of implied inflation for the next three years) rose but remained close to 4%.

More information is available in the new issue of the Bank of Russia’s commentary Inflation Expectations and Consumer Sentiment.