Ukraine’s inflation slows for second consecutive month
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Ukraine’s inflation rate continued to decelerate in July, even as the National Bank of Ukraine (NBU) warned that overall inflation could rise slightly. According to the State Statistics Service, annual inflation stood at 14.1% year-over-year (YoY) in July, down from 14.3% in June.

Ukraine’s inflation slows for second consecutive month
Inflation (blue) and core inflation in Ukraine (Source: State Statistics Service)

On a monthly basis, consumer prices declined by 0.2%.

The sharpest price drop was recorded for vegetables, which fell by 23.9%, while sugar prices decreased by 2.8%.

Conversely, prices rose for a broad range of food products, including fruits, eggs, pasta, meat and meat products, soft drinks, lard, bread, fish and seafood, cheeses, rice, processed cereals, sunflower oil, milk, and other dairy products, with increases ranging from 0.3% to 1.7%.

Alcoholic beverages and tobacco products saw a 1.8% increase, mainly driven by a 2.6% rise in tobacco prices.

Clothing and footwear prices declined by 5.2% and 4.0%, respectively.

Transportation costs rose by 1.6%, primarily due to a 4.1% increase in fuel and oil prices.

  • Ukraine reached a local peak in inflation in June, after which consumer price growth began to slow following a year of steady acceleration.
  • The NBU noted that future inflation trends will largely depend on weather conditions, which affect the supply and pricing of agricultural goods.
  • Inflation is projected to slow to 9.7% in 2025, 6.6% in 2026, and to reach the target level of 5% in 2027.