Increase in minimum wage may affect inflation - NBU

A significant increase in the minimum wage in Ukraine may affect macroeconomic indicators and inflation in general, according to the National Bank of Ukraine (NBU).

Deputy NBU Governor Dmytro Sologub said this at a briefing on Thursday, July 23, according to an Ukrinform correspondent.

"If there is an increase in the minimum wage and it is significant enough, it will affect macroeconomic indicators, budget indicators, inflation and unemployment," Sologub said.

He also noted that inflation will remain in the target range if the minimum wage is not raised.

The minimum wage in Ukraine is to be increased to UAH 5,000 from September, to UAH 6,000 from January 1, 2021, and to UAH 6,500 from July 1, 2021.

op