In Ukraine, in January-July 2012, zero inflation was registered, Prime Minister Mykola Azarov said in the interview with the country's central TV channels.

"Currently, inflation rate is zero," he said.

The State Statistics Service of Ukraine provides the official data on inflation as of July and the beginning of the year no later than on August 6.

On June 6, economic development and trade minister of Ukraine Petro Poroshenko said that a inflation slowdown in Ukraine is the result of reduction in domestic demand.

"Low inflation or deflation is caused either by lower demand or overproduction. We do not have overproduction. This means it is caused by lower demand," Poroshenko said.

He reported that to date the Economy Ministry examines the reasons for the current level of inflation. The minister said that the reason may lie in limiting people's access to lending resources from banks. Poroshenko noted that under the current rate, the total inflation rate for 2012 can be lower than it was expected, namely 7.9%.

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