Contents tagged with ruble

  • Russian government debt auction fails for third consecutive week

    For three weeks running, the Russian Finance Ministry has been failing in its attempts to borrow money on the market, finanz.ru reports.

    At the Federal Loan Bond (OFZ) auctions on Wednesday, the department was once again unable to sell the targeted amount. Out of a stated 20 billion rubles, the finance ministry was only able to raise 11.1 billion, despite the fact that buyers were offered notable discounts compared to market prices.

    Both auctions can be considered “failures”, commented Loko- …

  • Investors refuse to lend to Russian government

    The Russian government continues to struggle to borrow money on the market due to the mass exodus of foreign investors and the reluctance of the major Russian banks to risk US sanctions, finanz.ru reports.

    At the auction which was held on Wednesday, the Russian Finance Ministry failed for the second consecutive week to raise the targeted capital through Federal Loan Bonds (OFZs).

    Investors were offered 15 billion rubles of 3-year bonds and 5 billion of 11-year bonds, but the budget was only …

  • Head of Russia’s Alfa Bank sees no alternative to U.S. dollar

    The Chairman of the Board of Directors of Alfa-Bank Group, Petr Aven, does not see an alternative to the U.S. dollar in case Russia completely moves away from using the US dollar for international trade.  

    “Today, I see no alternative in the global trade. It would be very inefficient and entail huge costs. If banks are cut off from the U.S. dollar, what should they do? Kostin (the head of VTB Bank Andrey Kostin) suggested the use of the Russian rubles. This is a bad decision for everyone. I …

  • Russia loses $2.2 billion through yuan investments

    The Bank of Russia continues to lose foreign currency reserves as a result of its operations on the international currency market, finanz.ru reports.

    After the unsuccessful conversion of euros into dollars in 2017, which led to a loss of $4.5 billion, the Central Bank of Russia decided to invest a record amount in the Chinese yuan, and once again made losses in the billions on exchange rate differences.

    By the start of April, the proportion of the Chinese currency in Russia’s foreign currency …

  • Russian bond market enters downward spiral

    Russia’s government debt market continues to plummet into the abyss, dragging the ruble alongside it, despite the Russian Finance Ministry’s calls for investors not to panic, writes finanz.ru.

    The price of Russian government bonds has fallen for four consecutive days, and the currency exchange rate is approaching 70 rubles per US dollar, due to reports that US senators have begun discussing a new sanction package based on the Defending American Security from Kremlin Aggression Act.

    The …

  • Kremlin refuses to save Russian ruble

    The ruble’s latest collapse will not force the Russian government to stop buying foreign currency on the Moscow Exchange, the Central Bank of Russia warned.

    The dollar’s 3.6 and the euro’s 2.8 ruble spike are “the market’s natural reaction” to the threat of new sanctions, and currency interventions, during which the Finance Ministry has already bought more than $30 billion and plans to buy another $6 billion in August, will continue, the regulator said in a statement released on Friday.

    The …

  • Russian ruble wiped out by capital outflow

    The Russian currency market continues to sink due to the risk of sanctions and the outflow of foreign capital, finanz.ru reports.

    After gaining 2.05 rubles on Wednesday, 1.11 on Thursday, the US dollar gained a further 1.24 rubles during trade on Friday, reaching 67.8975 rubles, the highest since April 18, 2016. The euro appreciated by 48 kopeks for the day and 3.11 rubles since the start of the week, updating its 4-month high to 77.43 rubles.

    There is a growing lack of foreign currency in …

  • Russians losing faith in ruble

    The proportion of Russian citizens who expect the exchange rate of the Russian national currency to drop has grown by 70% since spring 2018 and reached a record since the start of the study (2013).

    44% of respondents expect the ruble to weaken in the next 12 months, the results of the Central Bank of Russia’s July survey indicate.

    This is 17 percentage points more than in March, and higher than the previous record from August and September 2014 (41%). Thus the Russian currency market’s April …

  • Kyiv reminds Ukrainian banks of ban on Russian banknotes and coins depicting Crimea

    The National Bank of Ukraine (NBU) informed Ukrainian banks, banking associations and the Ukrainian Postal Service (Ukrposhta) of a list of Russian banknotes banned for use in Ukraine, including banknotes and coins depicting the annexed Crimea, reports UNIAN, citing the NBU’s press service.

    According to the report, the NBU sent a letter to banks listing the Russian banknotes put into circulation in 2018 that are currently banned for currency exchange and cash operations in Ukraine. These …

  • Ukrainian National Bank prohibits accepting a new Russian hundred-ruble bill dedicated to the World Cup 2018

    The National Bank of Ukraine (NBU) prohibited all financial institutions of the country from accepting Russian currency bills and coins depicting objects in the Crimea, UBR.ua news outlet reports, citing the regulation of the NBU.

    It is reported that a hundred-ruble bill dedicated to the FIFA World Cup 2018 and also a 3-ruble coin that was put into circulation in March this year have been banned.

    The NBU explained that the territory of the Russian Federation with annexed Crimea is depicted on …