The Central Bank of Russia sees the risks of repeated sharp rise in food prices in 2022. This was stated by the head of the Department of monetary policy Kirill Tremasov at the international forum of the Moscow Stock Exchange, according to TASS.
According to Tremasova in Russia is also a risk of further rise in prices for energy products. “As far as food inflation, there is, yes, we do not have a very good crop globally”, – said the representative of the Central Bank, and added that the growth of food prices could continue because of the situation on the market – for example, due to the cost of fertilizers <. p>
In early November, the Central Bank has predicted growth of food inflation in the first half of 2022. The regulator said a bad harvest, because of which reduced the production of agricultural products. According to Rosstat, in October, the cost of food products has increased by 10.89 on an annual basis. Cucumbers have risen in price by 48.7 percent, tomatoes – by 43.8 percent, potatoes – by 15.5 percent
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To prevent the further growth of food prices, the government six months imposed restrictions on the export of nitrogen and compound nitrogenous fertilizers. Such measures have explained the need to provide fertilizers internal market, to avoid the lack of resources for agriculture and increase production costs.
In October, inflation accelerated to 8.13 percent in annual terms, according to Rosstat. Central Bank still expects inflation to 7.4-7.9 percent by the end of 2021 with the target of four percent. In order to curb rising prices, October 22, the regulator sharply raised its key rate to 7.5 per cent per annum. In this case, the Central Bank does not rule out a further increase in the key rate.