“The Russian ruble has fallen more than 24% since early August, when its slide began, and could continue to weaken.”, — write: epravda.com.ua
The Russian ruble has fallen more than 24% since early August, when its slide began, and could continue to weaken. This is what economic analysts say, Reuters reports. The key reason for the weakening of the ruble is the significant outflow of capital from the Russian stock market, which has fallen by more than 20% since the beginning of the year. Investors are massively transferring funds from stocks to deposits that offer interest rates higher than the record base rate of the Central Bank of the Russian Federation — 21%. Advertisement: Experts predict that by the end of the year, the ruble may fall to 115-120 per dollar. They say the Russian government and central bank should take action, including forcing exporters to sell more foreign currency and reducing government purchases.Advertisement: Sanctions against Russia’s financial sector also play a key role. They have complicated foreign trade operations, especially in the oil and gas sectors, causing a shortage of foreign exchange. Despite this, oil prices remain stable, helping exporters to benefit from a weak ruble. Read also: Huge expenditures on war and dependence on imports. Will the Kremlin’s economy survive? We will remind: the weakening ruble has almost collapsed Gazprom shares to $1 per paper. As of November 27, the ruble-to-dollar exchange rate is about 109 rubles.