“Extending quarantine period may lead to an increase in food prices” – Central Bank proposes simplifying import procedure

It is noted that the rapid change in the economic situation due to the pandemic and the measures taken to curb it can lead to a high level of uncertainty in the economic environment and unpredictable developments in economic processes.

“Restrictions on the movement of labor resources, deteriorating logistics, reducing the supply of transport services, increasing the duration and cost of transportation of goods in the face of further prolongation of quarantine restrictions may lead to higher prices for basic consumer goods,” the statement said.

In addition, financial incentives, lending in the first half of the year and rapid money supply growth can create a certain inflationary environment in the second half of the year.

The continuation of the pandemic-related situation will lead to an increase in the population’s demand for basic foodstuffs and medicines, which in the context of limited supply will put pressure on their prices. With this in mind, it is necessary to reconsider and increase stocks of this type of goods for the winter-spring season by liberalizing and simplifying imports to prevent price rises.