The regulator does not fulfil “their constitutional obligations” by giving the exchange rate to “the mercy of financial speculators,” Advisor to the President. He also made suggestions for improving the situation on the currency market
(Photo: Donat Sorokin / TASS)
The main factor that influenced the fall of the ruble was “the failure of the Central Bank of its constitutional duties” to ensure the stability of the national currency. This statement on the sidelines of the Eastern economic forum in Vladivostok was made by the Russian presidential adviser Sergei Glazyev in response to the question RBC, what factors affect the fall of the national currency and what tools are needed to restore its course.
“Having more foreign exchange reserves than the monetary base, they gave the exchange rate at the mercy of financial speculators, which are randomly rocking the ruble is getting huge profits to the destabilization of the macroeconomic situation when in fact the connivance of the monetary authorities. If the Central Bank returned to the performance of their duties, the ruble would have a stable starting in 2014, and there wouldn’t be any fluctuations,” — said Glazyev.
The Euro for the first time in 2.5 years exceeded 81 RUB
For recovery of the ruble Advisor to the President suggested to ensure control over currency and financial markets, to prevent market manipulation, conduct to the extent necessary intervention and to monitor the compliance of the ruble fundamental factors. “This is not difficult to do,” he said.
On the question of how he believes the likely increase in the key rate of the Central Bank on the background of the deterioration of the situation on the currency market, Glazyev answered: “I can say one thing: if it happens, it will be buried all investment expectations, which is on the East forum formulated”.
In the beginning of this week the ruble weakened and broke records from March 2016. So, on Monday, September 10, the dollar for the first time in 2.5 years rose above 70 rubles, Euro exceeded 81 RUB At the end of last week the Euro at the auction also set a record as the cost for the first time since March in 2016 rose above 80 rubles, Finance Minister Anton Siluanov linked the fall of the ruble with the expectation of a second round of anti-Russian sanctions and instability in the markets of developing countries, primarily Turkey. Presidential adviser Andrei Belousov said that the weakening of the ruble, “while” is not a matter for concern. He explained, “it is purely opportunistic, the story associated with famous political events.”