Russian household expectations fall to 12.9% ahead of Central Bank rate decision

MOSCOW. March 19 (Interfax) - Household inflation expectations in Russia have fallen from 13.7% in February to 12.9% in March, back to their August 2024 level, according to a short survey by InFOM for the Central Bank.

Expectations fell to 13.7% in February from 14.0% in January, their first drop since September 2024.

Inflation observed by households is unchanged at 16.5% in March.

InFOM conducted the latest survey from March 3-13.

Inflation expectations among respondents without savings have fallen to 15.1% in March from 15.2% in February, while among respondents with savings they have fallen to 11.0% from 11.3%.

Observed inflation among respondents without savings has risen to 18.8% in March from 18.4% in February, and among respondents with savings it is unchanged at 13.6%.

Earlier reports said price expectations among Russian businesses had fallen signficantly in March.

Household and business Inflation expectations are a key factor that the Bank of Russia takes into account when setting the key rate.

The Central Bank's net rate meeting is on March 21.