Russian Central Bank head said that gasoline prices rise would accelerate inflation

UFA, 5 June 2018. /Bashinform News Agency, Natalia Ovcharuk/ translated by Tatiana Aksyutina/. A rise in gasoline prices is of particular concern for the head of the Central Bank of Russia, a native of Ufa, Elvira Nabiullina. She stated this in her speech in the State Duma.

"Gasoline grew by 6.1% in annual terms with an increase in prices by 2.4% in April, according to the latest data, already by 11.8% in May. This can give, according to our estimates, an additional increase in the overall inflation rate, from 0.2 to 0.4 percentage points, and it will come out in the fact that the rise in gas prices will restrain the reduction in inflation expectations", TASS quotes Nabiullina.

However, according to the head of the Central Bank of Russia, inflation in 2018 will not exceed 4%. This may happen sooner than expected.

Recall that in May in Bashkortostan the leading oil companies raised fuel prices six times. Today, drivers in the republic pay 40 rubles 30 kopecks for a liter of 92 RON gasoline, 40 rubles 90 kopecks for Atum, 43 rubles 30 kopecks for RON 95, 43 rubles 50 kopecks for diesel fuel.

It is worth noting that since June 1, the Russian Government has cut excise taxes for gasoline and diesel fuel to contain domestic fuel prices.