National Bank Forecasts on Fuel Prices and Inflation Trends Until the End of the Year
The National Bank of Ukraine has made a long-awaited forecast concerning fluctuations in fuel prices and inflation levels expected by Ukrainian consumers by the end of 2023.
According to Deputy Chairman Serhii Nikolyuk, the main factors that caused sharp increases in fuel prices last year have already exhausted their impact and are unlikely to influence prices significantly in the near future.
The rise in gasoline and diesel prices was triggered by two primary reasons: short-term oil price hikes linked to the Middle East situation, which quickly normalized, and the weakening of the hryvnia against the euro, as excise taxes and tariffs are set in euros.
Experts believe that until year's end, fuel prices will remain relatively stable, with growth not exceeding 10%.
Consequently, the central bank does not foresee significant changes in fuel costs, and their contribution to overall inflation will remain minor.
Meanwhile, analysts predict that prices for vegetables and fruits will continue to rise, as the era of inexpensive produce in Ukraine is coming to an end.
Consumers should prepare for increased costs, making these products scarcer and more expensive in stores.