Russia's central bank has once again raised its key interest rate in the fight against persistently high inflation and has announced further increases.

The rate would rise from 6.5 to 6.75 percent, the monetary authorities announced on Friday in Moscow.

The central bank has raised its key to supplying commercial banks with money for the fifth time this year.

If the situation develops as predicted, the central bank will keep further interest rate hikes open at the upcoming meetings, the statement said. The next interest rate meeting is on October 22nd. Russia's central bank is aiming for an inflation rate of four percent. Most recently, according to the monetary authorities, the rate of price increases was 6.74 percent. The central bank dropped its previous inflation forecast of 5.7 to 6.2 percent for the current year. However, inflation is on the way to drop to 4.0 to 4.5 percent in 2022, explained the ruble watchdog.

The high inflation gnaws at the standard of living of many Russians. Rising prices are a major household concern ahead of the general election, which begins at the end of next week. It is expected that the ruling party “United Russia” will retain its dominance. The rate hikes have at least stabilized the ruble somewhat. On Friday, 86 rubles were paid for one euro. In the spring, around 90 rubles were still needed.