“In November 2024, consumer inflation in Ukraine increased to 11.2% in annual terms, exceeding the forecasts given in the October Inflation Report of the NBU.β, β write: epravda.com.ua
In November 2024, consumer inflation in Ukraine increased to 11.2% in annual terms, exceeding the forecasts given in the October Inflation Report of the NBU. The NBU reports this in the January 2025 Macroeconomic and Monetary Review. Core inflation in November reached 9.3% in annual terms. The increase was due to the increase in the price of processed food products, the increase in business costs for energy supply and labor costs, as well as the devaluation of the hryvnia. Food products became more expensive due to a reduction in the supply of certain agricultural crops and livestock products, which affected both raw and processed products. The cost of non-food goods also increased due to exchange rate factors, including a slowdown in the decline in prices for clothing and footwear.Advertisement: The rise in prices affected the services sector – education, communication, culture, recreation, restaurants and hotels. This was a consequence of the increase in production costs. Fuel prices, despite some slowdown due to lower global oil prices, remain under pressure from domestic factors. Administratively regulated inflation has also accelerated: the increase in the cost of alcohol and tobacco products is associated with devaluation and an increase in excise taxes in 2025. However, the moratorium on tariff increases for housing and communal services temporarily restrained their price increase. In the manufacturing sector, the rate of inflation slowed to 24.1% year-on-year, thanks in part to a decrease in the growth rate of electricity and gas prices. At the same time, prices in the extractive industry have started to rise again due to increased global demand, labor shortages and rising energy and logistics costs.