Inflation in Russia has hit a two-year high, topping the 10% mark in February.
Russia’s inflation figure for February stood at 10.1% year-on-year, the country’s national stats office Rosstat reported on Wednesday, up from 9.9% in January.
Last month’s figure was the highest since February 2023.
Government spending on the war in Ukraine has been driving up prices for months, the AFP news agency reported. The central bank responded by hiking interest rates to a two-decade high of 21% last October.
However, inflation driven by state spending is relatively immune to the effects of interest-rate rises, economists cited by AFP added.
Russia’s central bank has revised its 2025 inflation forecast upward, to an average of 7–8% from the previous estimate of 4.5–5%.
Last month’s figure was the highest since February 2023.
Government spending on the war in Ukraine has been driving up prices for months, the AFP news agency reported. The central bank responded by hiking interest rates to a two-decade high of 21% last October.
However, inflation driven by state spending is relatively immune to the effects of interest-rate rises, economists cited by AFP added.
Russia’s central bank has revised its 2025 inflation forecast upward, to an average of 7–8% from the previous estimate of 4.5–5%.
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