Russia: Inflation falls to fresh historical low in October
November 8, 2017
In October, consumer prices rose 0.2% from the previous month, which contrasted September’s 0.1% decrease. According to the Federal State Statistics Service (Rosstat), the result was largely due to higher prices for food products.
Inflation came in at 2.7% in October, below September’s 3.0% print and in line with market expectations. The print is the lowest in the country’s modern history and inflation is now further below the Central Bank of the Russian Federation’s target rate of 4.0%. Subdued price pressures are creating space for the Central Bank to loosen monetary policy. Annual average inflation declined from 4.5% in September to 4.2%, another historical low.