EDB confirms forecast for eight-percent inflation in Belarus in 2023

April 17, BPN. The omission of a spike in consumer prices in March 2022 explains lower annual inflation values recorded in March 2023, Eurasian Development Bank (EDB) said in its recent weekly macroeconomic report.

Price controls and weak domestic demand contributed to the slowdown, the analysts said. The EDB is expecting an annualized inflation drop to about 4 percent in the second quarter.

However, a limited effect of price controls and gradual demand recovery can accelerate inflation by the end of 2023, the analysts noted.

The EDB reaffirmed its baseline forecast for eight-percent inflation in Belarus this year.

Consumer prices for goods and services rose by 0.6 percent in March, by 2.6 percent since the start of 2023 and by six percent year on year, according to the National Statistics Committee (Belstat). Authorities reported inflation of 12.8 percent in 2022.

Belarusian government projects inflation of about six percent for 2023.