OSLO (Reuters – Norway’s central banks will hold its benchmark rate at 0.75% next week, while confirming plans to hike it in June according to a Reuters poll.

Norges Bank stated last month that they would increase rates at a faster rate than was previously planned in order to control inflation and support a fast growing economy.

Although headline inflation in Norway accelerated to 4.5% over the previous year, core inflation was slightly higher at 2.1%. This is just above the long-term goal by the central bank of 2%.

Current registered unemployment is at 2.2%, which is the lowest level since the 2008-2009 financial crises.

Norges Bank expects that seven additional rate hikes will be made by the end 2023. The policy rate would rise to 2.5%.

“We expect early and substantial Norges rate hikes to mean that wage growth peaks this year and unemployment rises gradually in 2023,” BofA Global Research said in a note to clients.

BofA predicts that the key policy rate will rise to 2.25% in 2023. However, this is slightly less than what was indicated by the central banks.

“We assume that the early and aggressive Norges Bank action in tightening monetary policy will keep inflation on a gradual downward trajectory through 2023,” BofA said.

A Reuters poll was conducted between April 20-25 and 25, which showed that 18 of 21 economists predicted rates will remain at their current levels until the Monetary Policy Committee announces its decision.

Three people predicted that Norges Bank will raise its rates next week by quarter percent.

Analysts predict that the policy rate will reach 1.0% by June’s end.

The MPC’s next meeting will be an interim one. This means that Norges Bank won’t provide economic forecasts but will instead give a written evaluation of progress made since March.

The June update of forecasts is due.