Much of this behaviour was driven by expectations, particularly in the investor market, of future price gains – the classic definition of bubble-like behaviour. BIS Review 10/2006  3  In the period since late 2003, both the housing market and the demand for credit have cooled.
The decline was driven by: the vanished effect of the last year’s low comparison base better harvests gathered this year administrative decisions on public utility rates the strengthening of the hryvnia in previous months the impact of the NBU’s previous decisions to tighten its monetary policy. At the same time, disinflation was somewhat slower than the NBU had predicted in itsOctober forecast.