Inflation fears crisis

Government Regulation igry10-11-2008 Inflation fears crisis Inhibition of inflation in Russia could be a side effect of the financial crisis, experts say. The decline in demand around the world have led to a significant drop in prices for many commodity groups. However, food prices will still remain at risk. Inflation heavily plagued Russians in recent years. Inflation in 2007 far exceeded government forecasts (in the range 7,5-8%) and amounted to 11,9% (for comparison, in 2006 - 9%). Prices continued their rapid growth. By May inflation rate for the extreme 12 months was 15%. September showed the same pattern. There was little doubt that the annual inflation will throw us into the year 2002, when it amounted to 15,1%. However, the financial crisis has brought new surprises Economic Development Minister Elvira Nabiullina last week made a statement which may seem optimistic: according to her, inflation in Russia in 2008 will not exceed 13-13,5%. According to the calculations of the Ministry, the rise in prices to slow pace: the October 2008 inflation in Russia, according to the Federal State Statistics Service, was 0,9% compared to 1,6% in October 2007, in November, it will amount to 0,8% in December - 0,7%. Forecasts of experts interviewed Bigness.ru different, but they note that due to the global financial crisis, growth in prices significantly abated.