Ukraine Inflation


Inflation dips further into negative territory

In June, consumer prices dropped 0.3% over the previous month, which mirrored the decline seen in May. The drop, which was mostly the result of lower prices for food and non-alcoholic beverages as well as for transport, defied market expectations that had prices rising in the midst of the UEFA European Championship 2012 co-hosted in Ukraine. Owing to the subdued monthly print, consumer prices decreased 1.2% over the same month last year, which was below the 0.5% drop observed in May and marked, in fact, the lowest reading on record. The Central Bank anticipates that inflation will not exceed 5.0% this year.


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Ukraine Inflation Chart

Ukraine Inflation June 2012

Note: Year-on-year and month-on-month variation of consumer price index in %.
Source: State Statistics Service of Ukraine.

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