MOSCOW (Reuters) – The Russian rouble will stabilise at round 100 to the U.S. greenback after the interval of volatility within the aftermath of U.S. sanctions on Russia’s monetary sector, CEO of Russia’s second largest lender Financial institution VTB Andrei Kostin informed Reuters on Monday.
The Russian foreign money weakened by 15% towards the U.S. greenback after the USA sanctioned Gazprombank, which dealt with Russia’s power commerce with Europe and was a significant provider of international foreign money to the Russian market, on Nov. 22.
“In 2022, in the event you bear in mind, the greenback reached as much as 120 roubles. A correction is already taking place, the greenback is barely above 100, and I feel it’s going to stay at this stage,” Kostin stated.
Kostin stated that the share of the U.S. greenback property on VTB’s steadiness sheet has drastically decreased following Western sanctions.
“Beforehand, half of the financial institution’s steadiness sheet was in {dollars}, and each alternate price motion had a big impression on us. However now we simply could not care much less,” Kostin stated.
“I perceive that exporters are happy (with the alternate price soar following one other bundle of sanctions from the U.S. Treasury), whereas importers are usually not very pleased, however to a big extent, that is an emotional outburst,” he added.