Lyudinovo

Main Menu

  • Home
  • Russian hotel
  • Russian restaurant
  • Russian currency
  • Russian economy
  • Russian budget

Lyudinovo

Lyudinovo

  • Home
  • Russian hotel
  • Russian restaurant
  • Russian currency
  • Russian economy
  • Russian budget
Russian currency
Home›Russian currency›Russian currency plunges on call to end capital controls

Russian currency plunges on call to end capital controls

By Lawrence C. Saleh
June 16, 2022
0
0
  • The Russian ruble fell on Thursday after the head of the central bank said most currency controls should be removed.
  • “We had an overlay of currency restrictions. My opinion is that they should be removed, most of them anyway,” Governor Elvira Nabiullina said.
  • The ruble had previously fallen under Western sanctions, but rebounded thanks to strict capital controls.
Loading Something is loading.

The Russian ruble fell on Thursday after the head of the Kremlin central bank suggested scrapping most capital controls.

Speaking at an economic conference in St. Petersburg, Governor Elvira Nabiullina also said Russians should be able to have bank accounts containing US dollars or other foreign currencies.

“We had an overlay of currency restrictions. My opinion is that they should be removed, most of them anyway,” she said. according to Reuters.

The ruble fell around 4.5% on Thursday, with the exchange rate hitting 55.38 to the dollar.

Nabiullina’s comments come as the ruble was pulled from a sharp turnaround. After plunging to less than a US penny shortly after Western sanctions were imposed for Russia’s war on Ukraine, the ruble soared on the back of tight capital controls.

The ruble hit a seven-year high in May against the US dollar, prompting Deputy Prime Minister Andrei Belousov to suggest weakening the currency.

Some capital controls have already been relaxed. In May, for example, the share of foreign exchange earnings that exporters must sell was reduced from 80% to 50%. The central bank also lowered interest rates, which had been raised earlier to support the ruble.

Meanwhile, Nabiullina also suggested that Russia should rethink the country’s reliance on exports for its revenue and instead focus its industries on serving the domestic market.

She added that Western sanctions in response to the Kremlin’s war on Ukraine would limit Russia’s access to vital technology and potentially endanger the economy, echoing fears of Soviet-era downturns.


Source link

Related posts:

  1. World Cup, the Russian currency slows down Seychellois tourism; Germany, France, Italy are bright spots
  2. Commodities to push Russian currency higher in 2021, Saxo Bank predicts – RT Business News
  3. Credit Suisse expects Russian currency to strengthen to 65-70 rubles against USD in 2021 – Business & Economy
  4. The share of remittances in Russian currencies is growing rapidly
Previous Article

Four Seasons Hotel Philadelphia and Vernick Fish ...

Next Article

“It’s a restaurant on wheels”

  • Privacy Policy
  • Terms and Conditions