Ukraine CPI down 0.2% yoy in November

Ukraine’s consumer prices declined 0.1% mom and 0.2% yoy in November, UkrStat reported on Dec. 6. Food prices remained on the downward trend last month (-0.2% mom and -2.2% yoy) owing to sliding prices for fruits, vegetables, sugar, meat and fish. At the same time, prices for non-food items increased yoy, except for clothes (-2.2%). The highest inflation rates were in the alcohol and tobacco group (6.8%), transportation (4.4%), education (4.4%), and health care (2.2%).

Alexander Paraschiy: The November deflation came as a real surprise. Prices have never fallen in November mom.  This season’s bumper harvest of fruits and vegetables might be behind the figures.  Hryvnia stability, coupled with frozen utility tariffs, also kept inflation below its expected level. At this point, we can say the end-2012 CPI will not exceed 0.6% yoy.