Inflation back up to two-year high

Annual inflation is expected to amount to as much as 8.5 this month.

The National Institute of Statistics (INS) yesterday published the monthly inflation rate, at 0.7 percent, below the market’s expectations.

The rise in inflation was caused by non-food price increases of 1.08 percent. As of February 1, natural gas prices rose 8.42 percent.

Most analysts expect a 0.5 percent increase in the key rate this month, due to high inflation. However, other analysts foresee a steady key rate, following BNR’s 26 March board meeting.