Products in Ukraine will continue to go up – expert

In Ukraine, the fall and early winter will continue to increase in food prices, but overall inflation by the end of the year will slow down. This forecast was voiced by the chief economist of Dragon Capital Elena Belan.

According to her, the rapid rise in prices in the last few months creates risks for the inflation forecast for the end of 2017 at the level of 10.5%.

“We, as before, the expected deceleration of inflation in annual terms in the fourth quarter due to high base comparison, particularly in the housing and communal services. However, the adverse impact of weather conditions and high world prices for meat will be to support the price of food at a higher level than expected earlier,” – said Belan.

The expert also predicts that by the end of 2018, inflation in Ukraine will slow to 7.2% in annual terms against the background of more moderate growth of prices for food products and the lack of a hike in utility tariffs.

Recall that consumer inflation in Ukraine in July was 0.2% compared with June. Since the beginning of the year prices increased by 8.2%. In annual terms (compared to July-2016) inflation was 15.9%. This is higher than it was in June.

The June inflation rate the national Bank has called the most high for the year. The regulator expected that in July Ukraine is waiting for deflation on a monthly basis, instead of which recorded price growth of 0.2%.