(Reuters) – Russia’s central financial institution mentioned on Friday that inflationary pressures throughout the economic system had remained sturdy through the first two weeks of February, citing a stoop within the rouble as an element.

Russia recorded inflation of 11.8% on an annual foundation in January, nearly thrice the central financial institution’s official 4% goal. It signalled final week it was making ready to lift base rates of interest to chill inflation.

“Operational information for the primary two weeks of February point out the development in direction of elevated worth pressures continues,” the financial institution mentioned on Friday in a report.

Costs throughout Russia have been extraordinarily risky within the 12 months since Russia invaded Ukraine – with a interval of fast inflation following the imposition of Western sanctions adopted by months of deflation as capital controls pushed the rouble larger.

However falling revenues from essential oil and fuel gross sales have once more hit the Russian foreign money this 12 months. The rouble has fallen 16% because the begin of December, when a European Union embargo and G7 worth cap on Russian crude gross sales got here into pressure.

“The alternate price has already affected (costs of) essentially the most import-dependent merchandise in January, and if the rouble stays at its present stage, this may proceed to have a pro-inflationary impact within the coming months,” the financial institution’s analysts mentioned within the report.