Russian Economic Development Ministry announced ruble exchange rate forecast for 2017

UFA, 14 March 2017. /Bashinform News Agency, Galina Bakhshieva/. Inflation in Russia is still below the forecasts of the Ministry of Economic Development, and the ruble is still stronger than the fundamental values corresponding to the Russian balance of payments. This is reported by RIA Novosti.

"Inflation is now below our expectations for a number of reasons, including due to the fact that the dollar exchange rate is below our expectations now. The ruble exchange rate deviated from the fundamental values, this deviation persists," Maxim Oreshkin, the head of the Ministry of Economic Development of Russia, told reporters.

As of March 6, inflation slowed to 4.5 percent in annual terms, having gained 0.9 percent from the beginning of the year. The last two weeks inflation was zero. The Ministry of Economic Development and the Central Bank forecast inflation of 4 percent for 2017.

Currently, the ruble to dollar rate is around 59. The basic forecast of the Ministry of Economic Development for the average annual rate is 67.5 rubles.