Central Bank: inflation slowed down in the Kaliningrad region

Annual inflation in the Kaliningrad region in April 2022 slowed to 18.41% after 19.41% in March. At the same time, it remained higher than in the Northwestern Federal District (17.69%) and in the whole country (17.83%). Such data are provided by the Kaliningrad branch of the Central Bank of the Russian Federation.

The inflation slowdown in the region was affected by the strengthening of the ruble, the expansion of the supply of a number of goods, the decrease in demand for durable goods and some services, and state regulation measures in certain commodity markets.

Products

The annual growth rate of food prices fell to 20.42% in April after 20.49% in March. The main contribution to the slowdown was made by the dynamics of prices for fruits and vegetables. This is due to the expansion of domestic and imported supplies of tomatoes, cabbage, potatoes and cucumbers. Egg prices fell after an increase in supplies from Belarus and other regions of the Russian Federation, as well as an increase in production by local poultry farms.

Non-food products

The annual growth rate of prices for non-food products in April decreased to 20% after 21.76% a month earlier. This was influenced by the strengthening of the national currency and a decrease in demand for cars, household appliances, smartphones and TVs. In addition, the rise in prices for lumber and motor gasoline slowed down.

Services

The annual growth rate of prices in the service sector fell to 11.14% in April after 12.69% in March. The increase in general uncertainty has affected the reduction of migration and tourist flows to the region. This, in turn, affected the decrease in demand for rental housing and, accordingly, a decrease in the annual growth rate of prices for apartment rental services. Against the backdrop of the strengthening of the ruble, the growth in prices for foreign trips slowed down.

As RBC Kaliningrad wrote, annual inflation in Lithuania amounted to 16.6% - this is one of the highest rates in the European Union. Only in Estonia the rise in prices was higher - 19.1%.