Inflation up 11.9% y-o-y in June

Ukraine’s consumer price index rose 0.4% m-o-m in June and 5.9% in 1H11, the State Statistics Committee announced yesterday. The annual inflation accelerated to 11.9% vs. 11.0% in May. Svetlana Rekrut: June’s CPI acceleration stems from growth of food, transportation and utilities price. We see inflation growing further in July with a slight decline starting in August. The consumer prices in 2H11 will mainly depend on government policies regarding utilities tariffs and fuel market regulation.