Inflation is 'slowing down', but prices are rising rapidly: expert revealed the main reason

According to hvylya.net: Ukrainians may observe a slowdown in inflation according to official data, but food prices continue to rise. Financial expert Alexey Kozyrev examines this issue and explains why our wallets feel it much more acutely than it might seem.

'Our National Bank, when looking at the discount rate, [...] focuses on one of the main factors – consumer inflation. If it rises, they should ideally raise their rates. If inflation falls, they should lower them,' the expert explains.

As of early July, the annual inflation fell to 14.3%, which is lower than the previous figure. However, as Kozyrev notes, the real situation in stores shows that food prices have risen by 10.3% just in the last month.

'Nevertheless, according to Kozyrev, this 'official inflation' significantly differs from what consumers see in stores. The cost of their grocery basket increased by 10.3% in the last month,' the expert emphasizes.

Ultimately, although the inflation of the Ukrainian economy has officially decreased, real food prices continue to rise, complicating the financial situation of citizens.