MOSCOW, March 7. /TASS/. Increased pro-inflationary factors may necessitate tighter monetary policy, the Bank of Russia experts wrote in a report.
"Seasonally adjusted consumer prices increased by more than 4% on an annualized basis in January. First and foremost, this is due to one-time pro-inflationary factors, but long-term pro-inflationary factors are also gradually increasing. If they continue to grow, tighter monetary policy may be required to bring inflation back to target values in 2024," the report said.
At the same time, the Bank of Russia said that the dynamics of the Russian economy in 2023 may be better than expected in the regulator's baseline scenario. "In the absence of new significant challenges for the largest industries and the population, the dynamics of Russian GDP in 2023 may be better than assumed in the baseline scenario of the Bank of Russia," the regulator said.
Earlier, the Bank of Russia improved the forecast for the dynamics of Russia's GDP in 2023 and now expects it to be in the range of -1% to 1%. Judging by operational indicators, the positive dynamics of the Russian economy accelerated at the beginning of the year due to increased domestic demand, the Bank of Russia's experts say.