Inflation in Ukraine grows to 1.3% in May 2025, to 15.9% y-o-y – statistics

The growth of consumer prices in Ukraine in May accelerated to 1.3% from 0.7% in April and 1.5% in March, the State Statistics Service reported on its website on Tuesday.

The statistics agency recalled that in May 2024, price growth was 0.6%, therefore, in annual terms, inflation in May of this year increased to 15.9% from 15.1% in April and 14.6% in March.

It is noted that in May 2025, core inflation increased not so significantly - to 0.5% from 0.4% in April and 1.4% in March. However, taking into account the fact that in May 2024 it was 0.3%, in annual terms, core inflation increased last month to 12.3% compared to 12.1% in April and 12.4% in March.

As reported, inflation in Ukraine, which decreased to 5.1% in 2023 after a jump a year earlier to 26.6%, increased to 12% in 2024.

In April, the NBU for the second time this year worsened its inflation forecast for 2025 - now from 8.4% to 8.7% and maintained its expectation of its return to the target level of 5% in 2026. The regulator expected that according to the results of the second quarter, inflation would decrease to 13.7%, and the third - to 12.3%, while core inflation would be 12.7% and 11.4%, respectively.

Last week, the National Bank stated that inflation in Ukraine in May 2025 probably reached a local maximum and slightly exceeded the regulator's forecast trajectory, in particular due to seasonal factors and an increase in business production costs.

The National Bank explained the increase in core inflation in May, after a slowdown in April, by stable demand and an increase in business costs, in particular on salaries.

"In the summer, inflation will begin to decline across a wide range of goods and services and will gradually move towards the 5% target," the National Bank said.