Inflation in Russia accelerated sharply in June after Ukrainian strikes on the country’s oil refineries triggered gasoline shortages and pushed fuel prices higher. According to data from Russia’s Federal State Statistics Service, released late Friday (July 10, 2026), annual inflation rose to 6% in June—up from 5.3% the previous month.
Monetary Policy at a Crossroads
This uptick could prompt the Central Bank of Russia to halt its easing cycle at its next meeting—the first pause since it began cutting interest rates in June last year. Central Bank Governor Elvira Nabiullina warned after the previous meeting that room for further rate cuts had narrowed. Earlier this month, she stated that Russia now needs “painful decisions” in the form of higher interest rates to rein in inflation.
Fuel Shortages Spread Nationwide
The price surge follows a rapid deterioration in Russia’s fuel market. A gasoline shortage—once largely confined to southern regions and Russian-occupied areas of Ukraine—has now spread across central Russia all the way to the Pacific coast. By late June, approximately 90% of Russia’s regions had either introduced some form of fuel rationing or reported supply disruptions, according to Bloomberg.
Steep Year-on-Year Gains
Gasoline prices jumped 19.9% year-on-year, official statistics show. Fuel continued to drive inflation into early July: gasoline prices rose 2.1% in the final week of June compared to the prior week, while diesel prices climbed 3.4%, data indicate.