MEXICO CITY (Reuters – Mexican annual inflation likely accelerated to a 2-decade high during December. A Reuters poll on Monday showed that this was consistent with expectations that the central banks will hike its key rate next month for the sixth time.

According to 11 survey analysts, inflation would rise to 7.51% in December from 7.37% in November. This rate would represent the highest since January 2001, when the inflation reached 8.11%.

Inflation core, which excludes some volatile food items and energy, was seen rising to 5.94%. It would have been the highest rate since October 2001.

As it tried to control rising price pressures, The Bank of Mexico (Banxico), increased its benchmark interest rate by more than anticipated to 5.50%.

Banxico will hold its next monetary policy meeting on February 10. Inflation should be below 3% with an upper and lower tolerance.

Comparatively to December 2011, Mexican consumer prices increased by 0.51 percent in December. The core price index saw an increase of 0.76%.

Inflation is a result of higher costs for processed food, animal products, and other goods.

Mexico’s statistics agency, National Statistic Agency will release the most recent inflation data Friday morning.