Updated at 17:11,20-07-2018

Leonid Zlotnikov: Somewhere in March a new round of price increases will start


"Population incomes can be raised to contain inflation, for a month or two. But somewhere in March it will cause the raise in prices", an economist Leonid Zlotnikov said in an interview to UDF.BY.

That's how the expert commented on Alexander Lukashenka's promise to significantly raise salaries and pensions from January 1.

"We will sequentially increase people's incomes, salaries and pensions. Already in early 2012 we will have to raise them", the president said, speaking at a seminar of senior officials of state bodies on December 15.

According to Leonid Zlotnikov, "one can increase incomes at the expense of inpayments from Russia - about $4 billion at the end of the year".

"And this money can be used to support the Belarusian ruble exchange rate, and this factor can contain inflation", the expert said.

Therefore, according to him, after the new year we can expect that inflation will rise at a slower pace than population incomes.

"But later, the price increase will be inevitable. And again we'll see the decline of living standards. I predict, it will begin in March or April 2012", Leonid Zlotnikov said.