Rouble weakening will last long enough – Central Bank
2010-11-23 13:04:48
The Central Bank of Russia expects that the rouble weakening will last long enough, the bank’s chief executive officer, Sergei Ignatyev, told a State Duma meeting on Tuesday.
He reiterated that the bank’s currency policy is aimed at a gradual increase of the rouble flexibility. Higher currency flexibility will allow the Central Bank to achieve the inflation target.
Over the first months of 2010 the rouble strengthened and the bi-currency basket declined. At the same time the Central Bank within the framework of the floating currency mechanism conducted large-scale currency interventions buying foreign currency.
Beginning from May 2010 the situation has changed and the bi-currency basket began to grow.
“Taking into consideration the surplus in current transactions at the current world oil prices, we think that this trend will last long enough,” Ignatyev said.