Majority of analysts expect 100 bps rate hike
Bank of Russia to announce decision at 1030 GMT Friday
Governor Nabiullina to hold media briefing at 1200 GMT

MOSCOW, Feb 7 Reuters The Russian central bank is expected to raise its key interest rate by a hefty 100 basis points for the second time in a row as it struggles to rein in inflation that could accelerate from the recent rouble drop, a Reuters poll suggested on Monday.

The central bank hiked rates seven times in 2021 but failed to rein in inflation, its main area of responsibility, which hit a sixyear high, denting living standards and spurring President Vladimir Putin to call for preemptive steps.

Twentyseven of 33 analysts and economists polled by Reuters predicted that Russia will raise the key rate by 100 basis points to 9.50 on Friday, its highest since March 2017.

The main reason for such a decision is the lack of improvement in inflationary readings, said Igor Rapokhin, chief debt strategist at SberCIB.

Such a hike would take the key rate above the annual consumer inflation rate of 8.82 seen in late January, a level far above the 4 target and the highest since early 2016.

The central bank has repeatedly promised to make sure annual inflation will slow to 4.04.5 by yearend, a task which is looking increasingly difficult to fulfil.

Adding to inflationary pressure is the recent rouble drop to a near 15month low of 80.4125 to the dollar in late January, when Western powers threatened to impose more…