Inflation in Kazakhstan hits 5.6% since early 2016
By Trend
The inflation rate in Kazakhstan hit 5.6 percent in Jan.- Sept. 2016, the Statistics Committee of the Ministry of National Economy of Kazakhstan reported.
Food prices have increased by 4.9 percent, non-food items’ prices have gone up by 6.8 percent, and paid services’ prices have increased by 5.3 percent since early 2016.
Kazakhstan’s inflation rate over the 12 months ended Sept. 2016
amounted to 16.6 percent.
In Sept. 2016, the inflation rate was 0.2 percent.
Meanwhile, the National Bank of Kazakhstan reduced the base rate to 12.5 percent with a corridor of +/- 1 percentage points since Oct. 3.
The base rate has amounted to 13 percent in Kazakhstan since mid. July. Earlier, the rate hit 15 percent.
“The reduction in the base rate reflects positive trends in the key segments of the external market, as well as a stable situation in the domestic financial market,” the bank said.
A further decision on the base rate will depend on the trend in actual and forecasted inflation and currency preferences of the population and market. Provided that the slowdown in inflation processes and the trend towards a steady decline in the annual inflation are confirmed, as well as a stable growth of tenge deposits is observed the reduction in the base rate until the end of this year is not ruled out.
The next decision on the base rate will be announced on November 14, 2016.
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