In the first full month of the war, Ukraine’s inflation reached the highest level in four years
In March 2022, Ukraine’s annual inflation has reached 13,7% which is the highest level since February 2018. Prices for food, pharmaceuticals and fuel rose most sharply.
Inflation was driven by supply chain disruptions, uneven demand, rising business costs, and the physical destruction of enterprises’ assets due to Russia’s full-scale attack on Ukraine, according to the National Bank of Ukraine.
In addition, the acceleration of inflation could be caused by the Russians blocking supplies of goods to the partially occupied areas.