The inevitable rise in inflation in Russia was explained

Investstrateg Sergey Suverov explained the rise in prices in Russia by oligopolies and imports of inflation rates of the Central Bank, due to a number of factors that the regulator is unable to influence. The investment strategist of Arikapital Management Company Sergey Suverov said this in a commentary to RIA Novosti.

The expert explained that price increases are inevitably “imported” from abroad, where the policy of leading central banks is characterized as ultra-soft. The increase in the cost of logistics, which has been significantly affected by the pandemic, also has an impact.

These factors could have less impact, but Russia has problems with its goods. Thus, imports account for 75 percent of the market for non-food products. Even simple foodstuffs such as potatoes and garlic have to be imported, otherwise there will be a shortage. The situation is explained by weak competition in Russia, the dominance of monopolies and oligopolies.

Taken together, these factors negate the efforts of the Central Bank. As a result, weekly inflation from November 23 to November 29 increased to 0.46 percent. According to Suverov, it is not worth expecting that next year the situation will be reversed on its own. Only a slowdown in global inflation can be a positive factor.

In addition, the outwardly situation may become more decent due to the high base of the current year – against the background of a record rise in prices, inflation in 2022 may not look so threatening.

Earlier it was reported that a grocery set for salad Olivier and herring under a fur coat rose by 15 and 25 percent over the year, respectively.

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