Source Pravda.Ru

Gref, "Gov't Will Control Inflation With Help Of Monetary Policies In 2002"

The government of the Russian Federation intends to control inflation with the help of monetary policies in 2002, Economic Development and Trade Minister German Gref declared at a briefing to the government today. While answering a question about the impact of an increase in tariffs of natural monopolies on the inflation rate next year, he said that inflation depends 70-80% on things that have nothing to do with tariffs of natural monopolies. In particular, it depends on investment expectations and the amount of money in circulation. That is why the government will be restraining inflation with the help of monetary policies next year. The government gave a relative task to the Central Bank today. The possibility of regulating inflation by monetary policies will be discussed after a decision on changes of tariffs of natural monopolies is made.

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