In Russia, the retail price of petrol rose by 18% during the year, and is expected to rise by another 8% by the end of 2024. This was reported by the Foreign Intelligence Service of Ukraine, noting that such dynamics could become a powerful factor in the overall inflationary pressure in Russia.
The main reasons for the jump in fuel prices were the accumulated inflationary effect (9.5% for the year and over 10% in the first four months), a 4% increase in excise taxes, a reduction in budget subsidies for oil companies and a 10% increase in Transneft’s transportation tariffs.
As a result of these changes, Russian exports of petrol through seaports fell sharply to just 130,000 tonnes in May, down 47% from the same period in 2023.
Analysts emphasise that the rise in fuel prices will inevitably affect all sectors of the Russian economy, from transport and manufacturing to the consumer market. “This will become an additional factor of pressure on inflationary processes in the Russian economy in 2025,” the Foreign Intelligence Service of Ukraine said.
