The inflation by the end of 2014 with high probability will exceed 7 percent. Relevant information is contained in message Of the Central Bank.
Assessment of the regulator, 8 September inflation in annual expression reached 7.7 percent. Core inflation in August rose to 8 percent. The rate of increase of prices of manufactured goods excluding gasoline also continued to grow, reaching in August to 5.3 percent. "The rate of increase in consumer prices will likely continue until the end of 2014 at a level exceeding 7%", - is spoken in the message of the Bank of Russia.
The Central Bank relates the acceleration of inflation in August with rising geopolitical tensions and the introduction of trade restrictions. "Further inflation dynamics will be determined, including the speed of adaptation of the economy to restrictions," - noted in the CB and add that the acceleration of price growth under the influence of these limitations, most likely, will not have a lasting character.
Also, the Bank of Russia confirmed the readiness of the tightening of monetary policy for the conservation targets for inflation and has not ruled out that the key rate in the future could be improved. At the meeting on 12 September it was decided to leave it unchanged at 8 percent.
In the previous forecast of the Central Bank said that inflation this year will be 6-6 .5%. In August the Ministry also revised its forecast for inflation from 5.5-6.5 percent to 7-7 .5 percent. According to Rosstat, inflation in August in annual terms accelerated to 7.6 percent.