April 25 Reuters The Russian rouble strengthened on Monday, firming past 77 against the euro to a near twoyear high, helped by tax payments that companies are due to make this week and as the market looked ahead to a central bank rate decision on Friday.

By 1453 GMT, the rouble had gained 3.6 to trade at 77.25 versus the euro , earlier clipping 76.96, its strongest mark since June 2020.

The rouble was 3 stronger against the dollar at 73.17, hovering around levels seen before Feb. 24, when Russia sent tens of thousands of troops to Ukraine.

Trading activity remains subdued compared with levels seen before Feb. 24. Movements in the rouble are artificially limited by capital controls imposed by the central bank because it lost the ability to support the rouble through FX interventions after Western sanctions froze nearly half of the country39;s reserves.

The currency was supported by a record 3 trillion roubles 40.25 billion that companies are due to pay in taxes this month, according to analysts surveyed by Reuters. To make the payments, some exportfocused firms need to sell foreign currency.

The tax boost may push the rouble higher, said Veles Capital in a note, but an expected rate cut by the central bank on Friday may dampen optimism.

Market players are looking ahead to the central bank rate decision, after two emergency rate moves in the last month a hike to 20 in late February, followed by a cut to 17 on April 8 .

A Reuters poll suggested the bank will cut by…