Russia most likely to have 10.5% inflation for year – Ulyukayev

MOSCOW. July 7 (Interfax) – Russia is must likely to have 10.5% inflation for this year, Economic Development Minister Alexei Ulyukayev said.

“Our official forecast is 11.9%. We won’t be changing it before we submit our adjusted forecast to the government. Officially it will remain such until September. But right now we see the most likely dynamic as falling to 10.5% by the end of the year,” Ulyukayev told reporters.

“In other words, we expect annual inflation to drop to approximately 10.5% by year-end and to below 7% by April,” he said.

“Accordingly, since the monetary authorities act given a time lag, the inflation forecast that we share with the Central Bank means there is at least several percentage points of leeway for lowering the key rate,” Ulyukayev said in comments on the expediency of cutting the key rate in the near future.