In Ukraine, inflation increase hit 3.1% in June

Year-on-year growth in consumer prices reached 21.5%

According to the results of June, the growth of consumer prices in Ukraine accelerated to 3.1% compared to 2.7% in May, and returning to the level of April, according to the data of Ukraine’s State Statistics Service.

In June 2021, inflation was 0.2%. Year-on-year, according to the results of June 2022, the indicator increased to 21.5% (from 18% in May, 16.4% in April, 13.7% in March, 10.7% in February, and 10% in January).

Core inflation also rose to 1.6% in June, compared to 1.4% in May, 3% in April, 3.8% in March. In June 2021 inflation was just 0.4%, so it increased to 14.9% year-on-year (13.7% in May, 13% in April, 10.5% in March, 8.2% in February and 7.6% in January).

In the first half of 2022, inflation in Ukraine was 17.4%, and the base inflation was 11.4%.

According to the results of 2021, inflation in Ukraine rose to 10% from 5% in 2020 (4.1% in 2019). And the base inflation rose to 7.9% against 4.5% a year earlier.

According to the National Bank’s estimates, inflation in Ukraine accelerated to 20.1% in June, compared to 18% in May. The main factors of the growth of consumer prices are:

  • high energy prices;
  • production and logistics chains disruption;
  • capacities and infrastructure destruction;
  • lands occupation.

The head of the National Bank, Kyrylo Shevchenko, expects inflation to rise to more than 20% by the end of 2022. According to him, consumer prices growth in April was 16.4%, and according to the results of May, it is expected to grow to 17%.