In August 2024, consumer inflation in Ukraine accelerated to 7.5% in annual terms, compared to 5.4% in July. In monthly terms, prices increased by 0.6%. Actual growth rates slightly exceeded previous forecasts, which was due to increased business costs for electricity and labor, as well as a certain weakening of the hryvnia exchange rate. About this reported press service of the National Bank of Ukraine (NBU).
The regulator noted that inflationary pressure increased more than expected. In particular, core inflation rose to 6.5% in August from 5.7% in July.
“The acceleration of the growth of consumer prices was caused primarily by the effects of this year’s worse harvests and the impact of higher business costs on food raw materials, energy and labor wages. Price pressure and carryover effects from the weakening of the hryvnia exchange rate in previous months supported”, – the NBU emphasizes.
Rising prices for products: milk, vegetables, eggs
In August, the price of some products rose more slowly. For example, the rates of decline in prices for sugar and cereals have slowed due to the depletion of last year’s harvest stocks and adverse weather conditions. At the same time, flour prices increased due to the increase in the cost of raw materials and production costs.
Prices for tomatoes and cucumbers rose due to reduced supply, which also affected the cost of other vegetables, such as zucchini and some borscht vegetables.
The increase in milk prices accelerated due to limited supply in the market, while demand for dairy products remained strong. The decline in prices for eggs and other livestock products has slowed down due to rising producer costs, particularly energy.
