Russian annual inflation in May was near 4% in seasonally adjusted terms - Nabuillina
MOSCOW. June 5 (Interfax) - Russian inflation is slowing faster than expected by the Central Bank of Russia (CBR), and was close to 4% in May in annual, seasonally adjusted terms, significantly lower than in April, CBR Governor Elvira Nabiullina said in a briefing on Friday.
"As for inflation, we see a decline in inflationary pressure and an increase in the influence of disinflationary factors in May. Weekly price growth was recorded near zero during the May holidays, while in the last two weeks it was 0.1% per week. Such trends may partly reflect the easing of restrictions," she said.
"In addition, as we have already noted, during the period of measures limiting trade in non-food products and provision of many services, current inflation data may be, so to speak, more tumultuous," Nabiullina said.
"Based on the weekly data, we believe that adjusted for seasonality, the increase in prices in May was close to 4% in annual terms, which is significantly lower than in April," the CBR head said.
"The slowing in price growth is slightly faster than we expected during the discussion of our rate decision on April 24. This is due to the strengthening of the ruble on the back of the rapid recovery in oil prices last month. But restrained demand, both domestic and external, will remain the determining factor for price growth," said Nabiullina.