Average inflation in Belarus

Average annual inflation measures the mean rise in Belarusian consumer prices over a year, calculated as the average of the twelve monthly inflation rates. It condenses the year's inflationary pressure into a single figure.

It builds on the consumer price index (CPI) compiled by Belarus's national statistics committee (Belstat) from a regular price survey. The annual average compares the year's mean index with the previous year's, unlike end-of-period year-on-year inflation; long-run series usually come from the IMF.

Inflation erodes Belarusian households' purchasing power and is the reference for the National Bank of the Republic of Belarus in setting policy. In an economy subject to price controls and sanctions, a high print pressures the Belarusian rouble and interest rates.

Being a yearly average, it smooths peaks and troughs and lags behind end-of-period year-on-year inflation. Administrative price controls can also hold down the official figure without reflecting shortages or the parallel market; for the underlying trend, core inflation is watched.