Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Ukraine’s Inflation Rate Drops to 3%, Lowest in Nine Years

Don't Miss Out —
Follow us on:

March 6 (Bloomberg) -- Ukraine’s inflation rate fell to its lowest level in nine years in February as food prices continued to decline after a good harvest last year.

Consumer prices rose 3 percent from a year earlier compared with 3.7 percent in January, the statistics office in the capital, Kiev, said today on its website. The median estimate of seven economists in a Bloomberg survey was for a 3.2 percent advance. Prices increased 0.2 percent from the previous month.

The government is targeting 2012 inflation of less than 7.9 percent as economic growth in the former Soviet nation slows to 3.9 percent from 5.2 percent last year. Ukraine “has all economic grounds” to keep price growth beneath the official goal, Ihor Shumylo, who heads the central bank’s economic department, said March 2. The bank has lowered interest rates on some refinancing operations twice this year.

The result means inflation may slow to 1 percent by May, Alexander Valchyshen, head of research at Investment Capital Ukraine in Kiev, said by phone. “There are conditions for that as the authorities are trying to control consumer prices.”

Factory-gate prices rose 7.5 percent from a year earlier in February and 0.8 percent from the previous month, the statistics office said.

To contact the reporters on this story: Kateryna Choursina in Kiev at kchoursina@bloomberg.net; Daryna Krasnolutska in Kiev at dkrasnolutsk@bloomberg.net

To contact the editors responsible for this story: Alan Crosby at acrosby1@bloomberg.net; Claudia Carpenter at ccarpenter2@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.