Russian Federation Inflation Rate

The annual inflation rate in Russia fell to 11.9 percent in December of 2022 from 12 percent in the previous month, slowing for the eighth consecutive month to its lowest since the country’s invasion of Ukraine in February triggered sweeping sanctions that isolated Russia’s economy. Prices decelerated for food products (11.1 percent to 10.3 percent in November) and non-food products (12.7 percent vs 13.4 percent), offsetting higher inflation for services (13.2 percent vs 11.2 percent). In the meantime, core inflation eased to 14.3 percent from 15.1 percent. On a monthly basis, the CPI rose by 0.8 percent, the highest monthly increase since April, backing the CBR’s signal to halt its rate-cutting cycle as the country’s labor force shortage pressures capacity.