Kazakhstan’s central bank hiked interest rates by 125 bps to 16.5%, higher than analysts had expected, in a bid to combat rising inflation. It noted that accelerating prices in Russia have increased domestic inflationary risks. It raised its inflation forecast for this year to 10-12%, due to these external factors, as well as the impact of higher fuel prices and VAT. Further, Kazakh Energy Minister Satkaliyev said the country will cut oil production to 1.5 mln bpd of oil in March, to comply with OPEC+ supply quotas, after it overproduced earlier this year. This is expected to lead to a 70% reduction in exports via the Caspian pipeline.