Kazakhstan gasoline up 8 tenge: National Bank weighs fuel impact on inflation

Kazakhstan's National Bank says rising fuel prices matter for inflation beyond drivers' costs, because fuel feeds into transport costs and can affect the prices of other goods. Deputy Chairman Akylzhan Baimagambetov spoke after the largest gas station network raised prices, as reported by Tengri Auto.

He said annual fuel price growth was about 10.4-10.5 percent in September and roughly 8.4-8.5 percent in October, partly because October of last year, when fuel also rose noticeably, dropped out of the calculation. The direct weight of fuel in the consumer basket may be modest, but the network effect is more important, he said.

The National Bank does not react to gasoline price rises directly with its base rate, but it monitors secondary effects on other prices closely. Baimagambetov called fuel price growth an inflation risk for next year's forecast, while the bank still expects inflation to stay within its announced corridor.