The ruble falls to the bottom.  The Bank of Russia holds an extraordinary meeting

As we wrote in, in the money booster The stabilization measures initiated by the Russian Central Bank do not help. Last Wednesday, it announced that it would stop buying foreign currency domestically as part of a mechanism designed to insulate the economy from volatile commodity prices.

The rest of the article is under the video

See also: Interest rates go down before the election? Monetary Policy Committee Member: It would be a school error

Increase the interest rate

However, since the beginning of August, the ruble has fallen by about seven percent. According to Russian President Advisor Maxim Oreshkin, The main reason for the ruble’s weakness is accommodative monetary policy. Today, August 14, the dollar exchange rate on the Moscow Exchange has risen above 101 rubles, and the euro – above 110.4 rubles. At 17:37, the dollar fell below 99 rubles, and the euro equaled 108 rubles.

Alexander Isakov, a Russian economist, told Bloomberg that the Bank of Russia will have to raise interest rates by 50-100 basis points at its September 15 meeting to boost domestic savings and cut imports.

However, the decision to hold an extraordinary meeting was made much sooner. On Wednesday, the board will decide on the key interest rate.

Rate our article quality:

Your feedback helps us create better content.

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Ukraine. London: Russia has a stimulus problem, some forces uncertain

Russia invades Ukraine. According to the British Ministry of Defense, the Russian…

Afghanistan: Polish accomplices and their families without eviction confirmation

– These people are exhausted, especially mentally, because they don’t know what…

fires. More villages evacuated in Greece. What is the situation in Italy, Turkey, Algeria and Russia?

Residents of areas consumed by fire in Greece are pressing the government…

A flurry of comments after Timmermans’ words: Putin’s novel

Frans Timmermans defended Gazprom. The words of the EU commissioner were met…