H1 2011 Kazakhstan inflation rate lower than CIS average

Inflation rate in Kazakhstan in the H1 2011 stood at 5.1%, lower than the CIS average (6.4%), the CIS Interstate Committee for Statistics reports. Belarus saw the highest inflation rate of 36.2%, followed by Kyrgyzstan (7.2%), Tajikistan (7.1%), Ukraine (5.9%), Kazakhstan (5.1%), Russia and Moldova (5%), Armenia (3.5%) and Azerbaijan (2.5%). There were no data available on Turkmenistan and Uzbekistan. July 8 Kazakhstan’s National Bank Governor Gregory Marchenko had said that he does not rule out that salary raise for public sector employees may affect inflation. “In the recent years monetary income of people has been growing, including through salary raise of public sector employees. This has been driving purchasing power of some people upwards, affecting inflation to some extent”, Marchenko said. Salaries of public sector employees have been raised by 30% since July 1. In the key note address President Nazarbayev promised that salaries of public sector employees and pensions will be doubled by 2012 against 2008. Pensions grew by 30% January 1. According to the CIS Interstate Committee for Statistics, Kyrgyzstan was the absolute leader in terms of industrial production growth in the H1 2011: the sector grew 13.9% as compared to the like period of 2010. Armenia came second (12.8%), followed by Belarus (11.5%), Ukraine (8.7%), Uzbekistan (6.8%), Kazakhstan and Tajikistan (5.8% each), Russia (5.3%).