Verkhovna Rada Chairman Arsenii Yatseniuk forecasts that inflation will exceed 16% and the GDP will grow by 6-7% in 2008.

He announced this at the fifth Ukrainian investment forum entitled "Ukraine-2008: reality and prospects" organized by Alfa Bank.

"Inflation will be high for sure. I expect it to soar the last year's level... The GDP will grow by 6-7%," he said.

Yatseniuk said that major factor provoking inflation growth is increase of prices for energy carries and foodstuffs.

In summer, inflation will slow down and be about 1%, the speaker said.

Yatseniuk also said that inflation may be scotched via reduction of budget social expenses and also increase of commodity supply.

As Ukrainian News earlier reported, in April, inflation made up 3.1% and 13.1% in January-April 2008.

In 2007, inflation made up 16.6%, 11.6% in 2006 and 10.3% in 2005.

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