Analysts: Belarusian inflation may be twice higher than officials predict

The monthly index of consumer price growth observed in the first months of the year makes analysts think so. If the National Bank preserves the current monetary policy, ‘the inflation may be twice higher than he official forecast’.

The consumer prices increased by 1.6% in Belarus in April, BelaPAN reports. The inflation was 6.6% in January – April. Meanwhile, according to the official forecast, the inflation should decrease to 11.1% this year (if compared to 2013 when the consumer prices increased by 16.5% in Belarus).

Meanwhile, the forecast is unlikely to be true this year, the administration of the National Bank claimed in April. According to the National Bank’s April expectations, the inflation may reach 16-17% in Belarus this year.

Despite the high inflation rate, the National Bank decreased the prime rate from 23.5% to 22.5% in April. It was done under the government’s pressure as it insists on decreasing the cost of credit resources for enterprises, experts think.   

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