In Ukraine, in annual terms, consumer prices remained stable at zero in July, compared to deflation of 0.1% in June, the State Statistics Service has announced. In m/m terms, consumer prices in July fell by 0.1%.

The service said that prices of foodstuff and soft drinks fell by 0.3% m/m. The largest fall of 6.9-2.2% was registered for the prices of vegetables and fruits. The price of pork fat, grain products, milk, macaroni, sunflower oil, beef, fish and fish products, margarine were down by 1.2-0.1%. The price of eggs and sugar rose by 10.4% and 4.9% respectively. The prices of rice, butter, poultry, pork, fermented milk products, cheese and bread rose by 0.1-1.8%. The prices of alcohol and tobacco grew by 0.9%, which is linked to an increase in the price of tobacco by 1.3%.

Prices in the healthcare sector rose by 0.2%, mainly due to a seasonal increase in the price of resort services of 2.6%. The growth in transport tariffs of 0.3% is linked to the increase in the cost of transportation by rail and by road by 3.5% and 0.4% respectively. The prices of fuel and lubricants fell by 0.2%. Prices in the education area rose by 0.2% due to the increase in the fees of preschool and elementary education institutions.

Since the start of the year, consumer prices rose by 0.1% y/y. In Jan-Jul, prices fell by 0.4% y/y.  Deflation of 0.2% was observed in 2012; inflation of 4.6% in 2011 and 9.1% in 2010. The government forecasts inflation rate at 4.8% for 2013.