MINSK, 31 January (BelTA) – The National Bank of the Republic of Belarus expects inflation to slow down in the second half of the year. Chairman of the Board of the National Bank of the Republic of Belarus (NBRB) Pavel Kallaur made the statement after delivering his report to Belarus President Aleksandr Lukashenko on 31 January, BelTA has learned.
Pavel Kallaur said: “The world expects inflation to slow down by the end of the year. Virtually all the central banks expect that. We also expect a substantial slowdown of inflation and our target (it has already been mentioned) is close to 6%. We have every reason to believe that through common efforts we will be able to hit this target.”
The NBRB head added: “We will endeavor to bring inflation closer to 6% by the end of the year. I can tell you it will not be simple because imported inflation is at play. All the countries in the world, including our neighbors, are going through this unpleasant period of inflation. Some countries report 30-year highs. Central banks are going to take measures to stiffen their policies now.”
According to the source, inflation in Belarus will reach kind of a plateau in Q1 2022. “There will be insignificant deviations from the level we have now. It is necessary to treat them calmly because the measures foreign central banks take and we, the government take have a certain lag. There is confidence that the volatility of the first quarter will be replaced with a steady downward inflation trend and the inflation target [of 6%] will be hit at the end of the year,” Pavel Kallaur explained.
The official also mentioned that an expanded session of the central bank's board took place in January 2022. Participants of the session reviewed last year's performance and projections and trends in 2022. “It is necessary to ensure price stability and financial stability. The government and the National Bank will definitely pay close attention to these matters as they implement the economic policy,” the NBRB head said.
