OREANDA-NEWS. August 2016 saw inflation dynamics staying within the Bank of Russia’s baseline scenario, while external economic and financial environment was favourable as a whole. In 2016 Q3, the economy tends to show growth against the backdrop of significant heterogeneity of dynamics in various sectors, as is noted in the 9th issue of the Talking Trends Bulletin prepared by the Bank of Russia Research and Forecasting Department.

'Despite a somewhat deterioration in index estimates of Russian GDP for the next few quarters, one may say that the economy picks up slowly’, the document notes.

Inflation is on a downward path owing, inter alia, to the monetary policy. The Bulletin’s authors emphasise that a decrease in inflationary pressure is being hampered by strong inertial inflation expectations of the population and businesses, uncertainty about specific parameters of the medium-term budget, and the risks of return of the consumption-oriented behaviour pattern.

The views expressed in the Bulletin are solely those of the authors and do not necessarily reflect the official position of the Bank of Russia.