Inflation Review Q1-2023

Inflation indicators in Q1-2023 had multidirectional dynamics unusual for Belarus. On the one hand, consumer prices returned to growth on average after an administrative decline in Q4-2022: annualized inflation was 6.4% (QoQ) in Q1-2023. Pro-inflationary pressure has prerequisites for strengthening during 2023 against the backdrop of a weakening price regulation and stimulation of domestic demand by the government and the National Bank of Belarus through loose monetary and fiscal policies