Inflation continues to decline in Russian regions
Annual inflation slowed down in most Russian regions (74) in July despite the indexation of utility rates.
Food prices dropped in most constituent territories as compared with June. In particular, fruit and vegetables, eggs and sugar continued to cheapen.
In many regions, non-food prices started to grow moderately after declining. Nonetheless, prices for cars, electrical goods, tools, and equipment continued to decrease amid weak demand. This trend was additionally fuelled by the ruble appreciation over the previous months.
Services prices went up significantly, primarily due to higher utility rates. However, health resort and passenger transportation services cheapened, and the rise in prices for foreign travel levelled off.
The Bank of Russia’s monetary policy is aimed at bringing inflation back to 4% in 2026 and maintaining it close to this level further on.
More details on inflation in each Russian region are available in the information and analytical materials published on the Bank of Russia website.