Tag: Ruble
NEWSLINK Financial Times: “Reasons for Russia’s rouble rollercoaster ride. Moscow has to work at structural reform and a stronger rule of law, writes Sergei Guriev”.
NEWSLINK: “What the Falling Oil Price Means for Russia and Ukraine” – Atlantic Council/Anders Aslund
Facing Oil Price Plunge, Russia Considers Fire Sale of State Companies
(Moscow Times – themoscowtimes.com – Peter Hobson – January 22, 2016) Russian officials are touting a new wave of privatization to fill the hole in the government’s finances caused by the slumping oil price. With the cost of crude falling toward $30 per barrel early in the year, Finance Minister Anton Siluanov announced that 1 trillion rubles ($12.5 billion) could […]
» Read moreNEWSLINK BNE/Intellinews: “Kremlin nerves tested by oil and ruble’s troubled waters”
NEWSLINK: “Cheap oil roils ruble, but Russia bears the pain. Oil prices have dropped to 12-year-lows, dragging the Russian currency along with it. But the Russian economy may be able to withstand the crunch for now.” – Christian Science Monitor
NEWSLINK: “RUSSIAN RUBLE HITS A NEW LOW AS OIL PRICES WEAKEN” – AP
Russian Economy Killers: Oil and Sanctions
(Voice of America – Bernard Shusman – January 6, 2016) Russian President Vladimir Putin gets a bad report card, even a failing grade, for his handling of the economic crisis in his country, according to 27 percent of analysts who participated in a major survey conducted by Bloomberg Business. These are hard times in Russia, with the collapse in oil […]
» Read moreEight Shades of Crisis – Russia’s Year of Economic Nightmares
(Moscow Times – themoscowtimes.com – Peter Hobson – December 26, 2015) [Charts here themoscowtimes.com/business/article/8-shades-of-crisis—russias-year-of-economic-nightmares/553703.html] Imagine Russia as a combustion engine. Oil and gas pumped from its vast territories wash through the economy as taxes, government spending and investment. Foreign currency from oil and gas sales is used to fund imported equipment and products on shop shelves. Cash from the energy […]
» Read moreRBTH: Ruble rollercoaster: How Russia was shortchanged in 2015
National currency lost half its value in the space of a year (Russia Beyond the Headlines – rbth.ru – ANNA KUCHMA, RBTH – December 23, 2015) The ruble has lost half its value in a span of just over a year. Since November 2014, foreign exchange value has been unregulated by the Russian Central Bank. Experts are divided in their […]
» Read moreNEWSWATCH Moscow Times/Sergei Alexashenko: “Russia’s Economy Slows Amid Investment Woes”
Writing in The Moscow Times, Sergei Alexashenko assesses trends in the Russian economy and some of the factors impacting them. Russia’s economy is faring poorly …. Gross domestic product has swung back to a level last seen in the first of 2008 and the economy has essentially stagnated over the last seven years. * * * The situation in Russia is not […]
» Read moreNEWSWATCH CNN: “Russia’s middle class: We don’t blame Putin.”
CNN reports on Russian President Vladimir Putin’s political standing and the reaction by the Russian citizenry to the impact of sanctions, embargoes and economic downturn. Russia’s middle class has had a tough time recently, but they aren’t blaming … Putin for it. [In addition to restrictions on certain travel and imports] … The ruble has lost more than half its […]
» Read moreRuble Sinks to New Lows As Oil Prices Plummet
(Moscow Times – themoscowtimes.com – December 8, 2015) The Russian ruble has continued its slide to dramatic lows, falling to 69 against the U.S. dollar on Monday for the first time since September, according to news reports. The euro, too, reached a two-month high, climbing to 75 rubles on Monday evening, with Russian analysts linking the ruble’s downward spiral to […]
» Read moreDebt repayment falters as ruble stays unsteady
Amid continuously falling incomes, debt help groups thrive as Russians turn to different solutions to repay loans. (Russia Beyond the Headlines – rbth.ru – ANNA KUCHMA, RBTH – December 2, 2015) In the past year, arrears on loans have reached record levels. Borrowers are finding it more difficult to repay their loans due to the steep devaluation of the ruble […]
» Read moreWhy is Russia’s Central Bank planning to print 1 trillion rubles? The regulator intends to inject $15 billion of cash into circulation
(Russia Beyond the Headlines – rbth.ru – ANNA KUCHMA, RBTH – November 18, 2015) Russia’s Central Bank is to inject 1 trillion rubles ($15 billion) in banknotes into circulation in December, allegedly to cover a seasonal demand for cash. The regulator’s first deputy chairman Georgy Luntovsky announced the upcoming cash issue on Nov. 12. According to the Central Bank, the […]
» Read moreHow the Unshackled Ruble Has Changed Russia’s Economy Forever; The weaker currency has hit consumers hard but helped oil producers
(Bloomberg – bloomberg.com – Anna Andrianova, Andre Tartar – November 9, 2015) [Charts here http://www.bloomberg.com/news/articles/2015-11-10/how-the-unshackled-ruble-has-changed-russia-s-economy-forever] Today marks the one-year anniversary of the freeing of the ruble for the first time in its post-Soviet history. In five charts, we show how the central bank’s decision to stop depleting international reserves to prop up the currency has upended every facet of the […]
» Read moreHard to call Russian banking system healthy – Sberbank exec
MOSCOW. Oct 28 (Interfax) – It is currently difficult to call the Russian banking system healthy, Sberbank (MOEX: SBER) deputy CEO Bella Zlatkis believes. “If two or three banking institutions in the country close per week, if this number increases by tens in a year, if a whole number of banking institutions are having problems with capital and liquidity, I […]
» Read moreRussia Faces Reality With Prediction of Deeper Economic Slump
(Bloomberg – bloomberg.com – Anna Andrianova, Olga Tanas – August 25, 2015) Russia’s government is starting to face reality. While insisting the worst of its recession was over, it cut its economic forecasts for this year and next amid the renewed plunge in energy prices and persistent sanctions over Ukraine. Economists said the revisions fell short of their estimates predicting […]
» Read more‘Black Monday’ inflicts further damage on Russian markets
Amid turmoil on global financial markets, the Russian ruble fell to a historic low against the U.S. dollar on Aug. 24, while the key stock market index, the RTS, dropped 6 percent. Russian analysts say that there is little room for optimism while oil prices remain low. (Russia Beyond the Headlines – rbth.ru – Alexei Lossan – August 25, 2015) […]
» Read moreRussian ruble tumbles as oil prices tank
(Business New Europe – bne.eu – MOSCOW BLOG: Ben Aris in Moscow – August 20, 2015) Russia’s ruble tumbled to a six-month low of RUB67 to the dollar and RUB75 to the euro on Thursday, as oil prices dropped yet again to $47 a barrel. The fall in the ruble adds to the turmoil in emerging markets over the past […]
» Read moreNEWSWATCH Moscow Times/Chris Weafer: No End in Sight to the Ruble’s Downward Slide
Writing in The Moscow Times, Chris Weafer considers trends in the Russian economy, with a focus on the ruble. … More than anything else the ruble is very much like the single bolt which holds a hang-glider together. If it breaks then the glider will fall to earth and the pilot very likely killed. * * * The reason why the ruble has that critical role is because, […]
» Read moreNEWSWATCH Wall Street Journal: Russians Seek to Soften Impact of Ruble Depreciation. Businesses look for new ways to hedge against further currency volatility.
The Wall Street Journal covers Russian vulnerability to currency volatility. Under Russian President Vladimir Putin, currency volatility once seemed consigned to the past. Before Russia’s annexation of Crimea last year, the ruble had kept an average range of between 25 and 35 to the dollar for several years. Now the exchange rate hovers around 66 to the dollar. * * […]
» Read moreNEWSLINK New York Times: Inflation Robs Russians of Buying Power
NEWSLINK New York Times: Russians Feel Ruble’s Fall, but Putin Remains Mostly Unscathed
Average Bribe in Russia Doubles in Rubles, Remains Steady in Dollars
(Moscow Times – themoscowtimes.com – July 31, 2015) The amount of the average bribe in Russia has nearly doubled this year, reaching 208,000 rubles ($3,485 at today’s rate), as the country’s currency has shed value amid Western sanctions and an economic downturn, according to Interior Ministry estimates cited by pro-government Izvestia daily on Friday. This compares to about 109,000 rubles […]
» Read moreNEWSWATCH BBC: Russian debtors despair as boom turns to bust
The BBC covers the Russian economic crisis and the plight of Russians who took on debt during boom times only to face misery and potential disaster now. Millions of Russians took out loans during the economic boom years, but now they face crippling debts and the law is not on their side …. * * * … the Russian United Credit Bureau […]
» Read moreRuble Fall Stokes Russian Holidaymaker Woes
(Moscow Times – themoscowtimes.com – Howard Amos – July 30, 2015) Alexandra Khomenok booked a European holiday earlier this month, but her plans hit a stumbling block this week as the ruble took an abrupt plunge, scraping four-month lows. While the 27-year-old PR manager has already bought tickets for herself and her husband to fly to Italy in September, they […]
» Read moreRussia Braces for Longest Recession in Decades With $50 Oil
(Bloomberg – bloomberg.com – Olga Tanas – July 22, 2015) For an economy that lives and dies by crude prices, the latest downturn in the world oil market means Russia’s recession may stretch into next year for the longest slump in two decades. Russia’s first economic slump since 2009 looked like it would plateau as oil gained 40 percent from […]
» Read moreWeak ruble is the ‘new norm’
(Business New Europe – bne.eu – Chris Weafer of Macro-Advisory – July 17, 2015) It is axiomatic that every major sporting event has a distinctive theme tune and every financial crisis has at least one unique descriptive slogan or buzzword. In Russia today the competition for that catchphrase is between “localisation” and “the new norm”. A great deal has already […]
» Read moreRussia Signals Tighter Ruble Reins as Economy Braces for Shocks
(Bloomberg – bloomberg.com – Anna Andrianova, Andrey Biryukov, Olga Voitova – July 9, 2015) Russia is asserting more control over its currency as crises from Greece to China create new vulnerabilities for the recession-hit economy. Russia is succeeding at keeping the ruble within an “acceptable corridor” while maintaining its reserves and a positive trade balance, President Vladimir Putin said on […]
» Read moreRuble’s Top Forecaster Sees Deeper Rout as Companies Repay Debt
(Bloomberg – bloomberg.com – Ksenia Galouchko – July 2, 2015) Sanctions are once again catching up on the ruble. While still the best performer in the world this year, no emerging-market currency has fallen more in the past month as the effect of rebounding oil prices faded. Approaching foreign-debt payments and a shrinking economy probably mean it has a further […]
» Read moreEtalon still building as world huffs, puffs, tries to blow Russia’s house down
(Business New Europe – bne.eu – Ben Aris – June 24, 2015) The world may be huffing and puffing and trying to blow Russia’s house down. But the house made of brick is proving to be a match for sanctions and falling oil prices, to the extent that Russia’s leading residential developer Etalon Group continues to see its business prosper […]
» Read moreRussia Embraces Yuan in Move Against U.S. Dollar Hegemony
(Moscow Times – themoscowtimes.com – Peter Hobson – June 16, 2015) Russian financial authorities, energy companies and state-controlled banks are stepping up their use of China’s yuan currency as Western sanctions spur diversification away from the U.S. dollar. In recent weeks, major Russian institutions have lined up to announce moves to use the yuan, which will likely emerge as the […]
» Read moreNEWSLINK Brookings Institution: The ruble currency storm is over, but is the Russian economy ready for the next one?
Recent data show the Russian economy contracted 1.9 percent in the first quarter of 2015. In this article, Sergey Aleksashenko delves into the events that led to the downturn, and what we can expect for the rest of 2015.
» Read moreNEWSWATCH Wall Street Journal: The Putin Recession; Russia’s economy keeps shrinking, but the West won’t take advantage
The Wall Street Journal editors address Russia’s economic crisis and the West’s apparent unwillingness to step up economic pressure. The Russian recession is expected to continue unfolding. An oddity of recent weeks has been the attempt to argue that Russia’s economy isn’t as awful as it looks. Then along comes Friday’s report that GDP fell 1.9% year-on-year in the first […]
» Read moreWhat next for Russia’s economy and the ruble?
(Business New Europe – bne.eu – Chris Weafer in Moscow, Senior Partner at Macro Advisory, which offers bespoke Russia-CIS consulting – May 19, 2015) If you left Russia for the last New Year holiday and did not return until the recent May holidays, and did not follow the news from or about Russia in the meantime, you would certainly be […]
» Read moreRussia’s Richest Billionaire: Impact of Sanctions Is Waning
(Bloomberg – bloomberg.com – Ryan Chilcote, Yuliya Fedorinova – May 18, 2015) Russia’s richest man said international investors are coming back to the country and the impact of sanctions has peaked. “Now it’s getting clear that the situation is more politically stable or predictable,” Vladimir Potanin, who heads Russia’s biggest miner, OAO GMK Norilsk Nickel, said in an interview with […]
» Read moreNEWSLINK New York Times: Changing Course, Russia Will Sell Rubles Instead of Buying
The Russian economy is sliding into a recession. Consumers are retreating. Corporate profits are suffering.
» Read moreAs Inflation Soars, One in Five Russians Can Only Afford Bare Necessities
(Moscow Times – themoscowtimes.com – Delphine d’Amora – May 15, 2015) Many Russians flocked to stores late last year as the ruble plummeted against the euro and dollar, eager to get the most out of their savings before the prices of imported goods rose. Nearly 20 percent of Russians can now afford nothing more than the absolute necessities as double-digit […]
» Read moreCurrency Crisis Leaves Russian Scientists With No Funds for Foreign Journal Subscriptions
(Moscow Times – themoscowtimes.com – Gabrielle Tétrault-Farber – May 13, 2015) After scientists across Russia lost access to thousands of academic journals on Tuesday due to the ruble’s sharp devaluation, Education Minister Dmitry Livanov vowed to restore access to academic publishing giant Springer, Russian media reported. Universities and research institutions across the country lost access to Springer due to a […]
» Read moreRussian Economy May Be Stumbling Back To Its Feet
(Oilprice.com – Andy Tully – May 3, 2015) The Bank of Russia has cut interest rates for the third time so far this year, reinforcing forecasts by some government ministers that the country’s economic woes are beginning to stabilize. The central bank cut its key rate on April 30 to 12.5 percent, a reduction of 1.5 points, and said it would […]
» Read moreStrengthening of ruble due to growth of oil prices over – Yudayeva
MOSCOW. April 22 (Interfax) – The strengthening of the ruble due to growth in prices for oil has ended, First Deputy Central Bank Governor Ksenia Yudayeva told journalists at the Forum for Financial Stability on Wednesday. “The strengthening of the ruble has ended, it has partially ended, what we saw was connected with the sharp movement upwards in prices for […]
» Read moreRussian Global Trade Plummets as Economic Crisis Deepens
(Moscow Times – themoscowtimes.com – Peter Hobson – April 21, 2015) Russia’s trade turnover with the outside world plunged 30.1 percent year-on-year in the first two months of 2015 as oil price falls, currency devaluation and tit-for-tat sanctions shook the Russian economy. The value of Russia’s international trade fell to $83.3 billion over January and February, according to data published […]
» Read moreRuble Rebound Slows Russia’s Rampant Food Price Inflation
(Moscow Times – themoscowtimes.com – Delphine d’Amora – April 21, 2015) The ruble’s rapid recovery in recent weeks has seen prices on some foods fall, easing months of spiraling inflation and softening one of the most widely felt blows of Russia’s economic crisis. All major retailers contacted by The Moscow Times last week said that the ruble’s rebound of some […]
» Read moreNEWSLINK New York Times: Fall of Ruble Benefits Tourists to Russia
… Since the beginning of 2014, tourism to Russia has declined 35 percent, according to the Association of Tour Operators of Russia. Tourism from the West has been cut in half. …
» Read moreWeak Russian Economic Data Blunt Putin’s Optimism
(Moscow Times – themoscowtimes.com – Peter Hobson – April 20, 2015) The ruble slumped 4 percent and Moscow-listed stocks fell on Friday after official data showed that Russia’s economy contracted sharply in the first quarter of this year. The data, which showed a deep decline in real wages and consumer spending, came a day after President Vladimir Putin told Russians […]
» Read moreNEWSLINK CNBC: Russia has bigger concerns than oil, ruble: Deputy PM
Faced with the triple whammy of plunging oil prices, currency volatility and Western sanctions, there’s no dearth of challenges for Russia’s ailing economy, but Deputy Prime Minister Arkady Dvorkovich said what hurts most is the scarcity of financing for new investments. “The shortness of financing for new investments is where the Russian economy is being hit in the most important […]
» Read moreEastern Ukraine returns to the ruble
(Business New Europe – bne.eu – Graham Stack in Kyiv, Mari Bastashevski in Donetsk – April 15, 2015) The Russian ruble is gaining ground against the hryvnia across rebel-held parts of East Ukraine’s Donbas region, 19 years after Kyiv introduced the national currency to end the country’s membership of the ruble zone. As Eastern Ukraine heads towards becoming a frozen […]
» Read moreRussia Sees Further Drop in Capital Outflows as Economy Adjusts
(Bloomberg – bloomberg.com – Olga Tanas, Anna Andrianova – April 14, 2015) Russian capital outflows will slow further as bonds and the ruble stage a comeback following a sell-off last year, Finance Minister Anton Siluanov said. Net outflows will slow to $15 billion in the second quarter after a “sharp decline” in the previous three months, bringing the total for […]
» Read moreRussian Capital Flight Slows to $32.6 Billion in First Quarter
(Moscow Times – themoscowtimes.com – April 10, 2015) Net capital outflow from Russia was $32.6 billion in the first quarter of the year, down from $72.9 billion in the previous three months, suggesting that panic over Russia’s economic crisis has receded, data published this week by the Central Bank showed. Capital flight from Russia nearly tripled in 2014 from the […]
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