Economics

Russia Eyes a Big Rate Hike as Inflation Soars

  • Annual inflation rose to 6%, well above central bank 4% target
  • The majority of economists expect a 50 basis-point hike

Annual inflation accelerated to 6% in May from a year ago as global food prices soared and a lack of Covid restrictions helped the economy recover from its pandemic slump at a faster pace than expected.

Photographer: Andrey Rudakov/Bloomberg
Lock
This article is for subscribers only.

Sign up for the New Economy Daily newsletter, follow us @economics and subscribe to our podcast.

Russia is on course for its second big interest-rate increase in a row on Friday after inflation accelerated at the fastest pace in more than four years.