Former Russian Finance Minister Mikhail Zadornov said that to combat inflation in Russia, it is necessary to “simply” not print money, avoid administrative control over prices and monitor the level of the budget deficit. DEA News.
“In terms of fighting inflation, all the prescriptions are known: do not print more money, do not allow price controls, do not increase the budget deficit above 2-3% of GDP, which is now a very important point for Russia. said the economist.
Zadornov stressed that the state’s attempt to regulate prices to reduce inflation could lead to “total control and removal of goods from the market” that “we live in the Soviet Union”.
Previously the World Bank estimated 3.7% increase in the budget deficit of the Russian Federation in 2023 due to the increase in expenditures to stimulate the economy and the decrease in oil revenues. Consumer inflation is expected to reach 6% in 2023 and fall to 4% in 2025.