Annual inflation in June increased to 6.5%

Annual inflation in the Russian Federation in June amounted to 6.5%, follows from the materials of the Central Bank of RUSSIA.

"In June 2021, annual inflation increased to 6.50%. The increase in the indicator is partly due to the influence of a low base. Compared to May 2021, there was a slight decrease in monthly price growth (seasonally adjusted) in June compared to May 2021. Taking into account the timing of the exhaustion of low base effects and the ongoing monetary policy, the Bank of Russia expects that annual inflation will begin to decline in the fall, return to the Bank of Russia's target in the second half of 2022 and will be close to 4% in the future," the Central Bank notes.

Earlier, the Chairman of the Central Bank of the Russian Federation, Elvira Nabiullina, said that she expects inflation by the end of 2021 to be higher than the April forecast of the Bank of Russia, which is 4.7-5.2%, but below the current level.

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Nabiullina also noted that the inflation forecast will be revised at a meeting of the board of directors of the regulator on July 23.