Experts predict inflation at 1.2% in January
2011-01-11 17:31:28
The current estimate of inflation for 2011 stands at 11% with a negative outlook, the TASK Investment Group has reported.
In January 2011, experts expect inflation to stand at 1.2%, said analyst Andriy Shevchyshyn.
He said that the main pressure on prices remained with respect to food (+1.1%) and the fuel group (+6.8%). An additional driver of growth in prices in January 2010 will be an increase in the price of hot water and heating (+0.9%), which is planned at 34-35%.
Experts also expect a rise in prices for chicken and cattle meat due to changes in the rules for frozen meat in Russia, which will presumably lead to a reduction in the supply of meat in Ukraine and will be laden with restrictions on meat imports because of various epidemics.
They also expect a moderate pressure on the market of dairy products because of new rules for VAT distribution.
At the same time, a slight decrease in the price of confectionery is possible, which will be linked to the introduction of a special fee on caramel from Russia, Shevchyshyn said.
In general, price sentiment in January and February will be indicative for the further estimates of annual inflation, because the impact of a rise in the prices for gas, electricity and fuel has a delayed and prolonged effect.
According to the State Statistics Service, inflation in Ukraine in December 2010 accelerated to 0.8%, from 0.3% in November and 0.5% in October. In general, inflation in 2010 slowed to 9.1%, from 12.3% in 2009.