The purchasing power of the ruble in relation to the consumer basket for 30 years after the liberalization of prices in Russia fell 40 thousand times, excluding denomination, when three zeros were removed from banknotes. Dmitry Kulikov, director of the group of sovereign ratings and macroeconomic analysis of ACRA, said this to RIA Novosti.
In 1992, on January 2, a one-time release of prices took place in Russia. After that day, 80% of wholesale and 90% of retail prices became free. Control over the cost of a number of consumer goods remained: bread, milk, kefir, cottage cheese, baby food, salt, sugar, vegetable oil, vodka, matches, medicines, as well as electricity, city transport, rent and utility bills. From March to May, control over the prices of these goods was removed or transferred to the regional level, PRIME reports.
As Kulikov calculated, “the purchasing power of the ruble in relation to the basket of consumer goods has decreased by more than 40 thousand times over 30 years, but this has been extremely uneven.”
According to the expert, most of the changes took place in the 1990s and early 2000s: then the country went through periods of hyper and galloping inflation, destruction and restoration of money circulation.
Let us also recall that experts previously interviewed by RIA Novosti predicted that oil prices, geopolitics and decisions of the Central Bank of the Russian Federation on the key rate will remain the most significant factors for the rate of the Russian currency, and will play in its favor in the coming months. According to their estimates, the dollar will spend 2022 in the range of 70-76 rubles, and by the end of the year it will weaken to 72 rubles.
Source: Rosbalt
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