You're reading: Central bank says inflation rates will be lower than last year

The target of 5% to 6% inflation, envisaged in a program of economic reforms drafted by Ukrainian President Viktor Yanukovych, may be attained by the end of 2012.

Executive Director for Economic Issues of the National Bank of Ukraine Ihor Shumylo made this forecast during a roundtable organized by the League of financial Development with the support of the Dzerkalo Tyzhnia (Mirror Weekly) Newspaper and the Financial Sector Development Project (FINREP) of the U.S. Agency for International Development (USAID).

"I believe that even taking into account the increase in tariffs for gas, electricity, housing and utilities, it is possible to keep inflation in 2010 at a level lower than last year, which is less than 12% and core inflation less then 10%. Of course, certain administrative price increases will occur even in 2011-2012. But I think that it is quite possible that in late 2012 and further in the mid term we will keep inflation under 5%," Shumylo said.