Russia's 2026 inflation forecast raised from 4% to 5.2% - deputy PM

MOSCOW. May 12 (Interfax) - Russia's updated inflation forecast for 2026 is 5.2%, while the forecast for 2027 remains at 4%, Deputy Prime Minister Alexander Novak said.

"Today, the scenario conditions for socio-economic development through 2029 will be published [the Economic Development Ministry will publish them]. The forecast [for inflation] is 5.2% in December 2026 compared to December 2025. And annual inflation will reach the Central Bank of Russia's target in 2027. So far we see that inflation has slowed down significantly and continues to slow down," Novak said in an interview with the Vedomosti newspaper.

As reported, the previous official forecast of the Economic Development Ministry from September 2025 assumed inflation at 4% per year in 2026-2028.

"Overall, low inflation is a benefit for the economy and means predictability of business conditions and stability for consumers. But it is necessary to find a balance between economic growth and inflation. It is equally bad to move towards the inflation target at any cost, including at the cost of a significant decline in economic output, and to 'overheat' the economy with the risk of sliding into the uncontrolled growth of inflation," Novak said.

As reported, the Central Bank forecasts inflation in 2026 in the range of 4.5%-5.5%, and at 4% in 2027.