In Tajikistan, inflation almost doubled in August

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The inflation rate in Tajikistan at the end of August was almost double the July figure of 2.3% in annual terms. The growth is also associated with the acceleration of inflation in Russia, the Eurasian Development Bank (EDB) reported.

"In Tajikistan, inflation increased to 4.2% y/y in August from 2.3% y/y in July. <...> Inflation in Tajikistan is accelerating under the influence of such factors as strong dynamics of domestic demand, increased world prices for energy resources and accelerating price growth in Russia, the main supplier of imports to the country,” says a review by EDB analysts.

Thus, at the end of August, inflation in Tajikistan returned to the level predicted by the National Bank of Tajikistan of 4-8% for the year. In Russia, according to the latest review of the Ministry of Economic Development dated September 20, from September 12 to 18, inflation accelerated to 5.45% against 5.33% a week earlier. The Bank of Russia also predicts an increase in inflation in the coming months.

Earlier, the EDB noted that during 2023, low inflation was recorded in Tajikistan, and the May figure of 2.4% was the lowest since 2018. The bank predicted its increase and decrease in the exchange rate of the national currency against the dollar, which has remained virtually unchanged since February 2023 and is about 10.9 somoni per $1.

Russia is Tajikistan's main trading partner. Trade turnover between the two countries increased by 9.8% in January-July 2023 compared to the same period last year and reached $997.4 million.

CentralAsianLIGHT.org

September 26, 2023