Price growth remains moderate in December

Utility rates increased due to the indexation preponed from 2023 to December 2022. The growth in non-food prices accelerated, and the impact of disinflationary factors started to abate somewhat.

Annual inflation continued to decline and reached 11.94%. The Bank of Russia forecasts that inflation could temporarily drop below 4% in spring 2023 due to the base effect. This is because last spring's price surge will no longer be taken into account when calculating inflation.

Given the monetary policy pursued, inflation will come at 5-7% in 2023 and 4% in 2024.

More details are available in the new issue of the Bank of Russia's information and analytical commentary Consumer Price Dynamics.