ALMATY, Feb 23 (Reuters) – Kazakhstan´s central bank is likely to keep its benchmark interest rate at 16.75% on Friday after saying this month that inflation risks required it to maintain the current policy, according to analysts surveyed in a Reuters poll.
All seven analysts polled this week said they expected the rate to remain unchanged, given the regulator’s clear message.
Annual inflation accelerated to 20.7% in January from 20.3% a month earlier, the highest level since the 1990s.
Analysts say, however, that inflationary pressure is beginning to abate, link bio citing global food prices and freight rates.
“We also think the current strengthening of the tenge could become one of the disinflationary factors,” said Yevgeniy Vikokurov, chief economist at the Eurasian Development Bank.
Kazakhstan imports many consumer goods from Russia and the strength of the rouble last year contributed to price hikes.This month, the tenge has strengthened 11% against the rouble and 3% against the dollar. (Reporting by Mariya Gordeyeva; Writing by Olzhas Auyezov; Editing by Sharon Singleton)
