Ukraine CPI declines 0.5% yoy in September
8 October 2013
Ukraine’s consumer prices decreased 0.5% yoy (0.0% m/m) in September, according to state statistics released on October 7. Food deflation (-2.6% yoy) remained the key reason for the sliding CPI. Healthcare (+2.5% yoy), education (+2.4% yoy) and transportation (+2.0% yoy) prices continued growing.
Alexander Paraschiy: It looks like hardly anything can change the deflationary trend during the next three months. A strong grain harvest will not revive consumer prices, even at the start of 2014. A possible natural gas price increase in November and dramatic hryvnia decline by the year end won’t affect the 2013 result either. Against this backdrop, we are keeping our CPI forecast at -0.4% yoy for 2013.
