The Central Bank explained why slowing inflation does not mean… (цена · инфляция · снижение)
The Central Bank explained why slowing inflation does not mean falling prices. This does not indicate a decrease in the prices of these goods and services. He noted that price declines, or deflation, are possible under conditions of strong economic cooling when demand falls below production capacity.
Consensus
- A slowdown in inflation does not equate to a decrease in prices
- The Central Bank of Russia's deputy head explained the distinction between slowing inflation and price deflation
- Reduced inflation means slower growth in consumer goods prices, but not necessarily falling prices
- Deflation is considered an unhealthy economic condition often linked with economic downturns
Points of divergence
- Inflation data for the week of June 23–29 showed a rate of 0.22%, down from 0.25% in the previous week, with annual inflation at 4.17% — fontanka
- The Central Bank's deputy head stated that inflation data shows slower price growth but not falling prices — vesti
Coverage (2 sources)
- Deputy Central Bank Governor Explains Why Lower Inflation Doesn't Pull Down Prices — Фонтанка
- Central Bank Explains Why Slowing Inflation Does Not Mean Falling Prices — Вести