The best in the world

  • Home
  • Technics
  • Finance
  • Ratings
  • Cars
  • Movie
  • People
  • Home
    • Technics
    • Finance
    • Ratings
    • Cars
    • Movie
    • People

Home Ratings

Why is the ruble falling? Top 3 reasons for the fall of the ruble

Share
Pin
Tweet
Send
Share
Send

Russian Prime Minister Dmitry Medvedev said why the ruble is falling and named the three main reasons for the fall of the national Russian currency against the dollar and the euro and the weakening of its position in the global capital market.

In the current situation, a weak ruble is good for the Russian budget, since most of it is generated from export earnings, which mainly consists of fuel and energy products. They are traded in US dollars. Exporters who benefit from a weak ruble are bringing currency to our country. And the Russian government needs the currency to pay off its debts. On the other hand, a weak ruble leads to large inflation and a strong decline in the purchasing power of Russians.

Introducing you top 3 reasons why the ruble is falling, according to Dmitry Medvedev.

3. Sanctions of the West

Financial sanctions adversely affect the Russian economy, depriving enterprises of vital Western financial sources needed to refinance business debts. And the sanctions imposed on the largest Russian state-owned companies (Sberbank, VTB, Vnesheconombank, Russian Agricultural Bank, Gazprombank) and private banks are important reasons for the depreciation of the ruble. Investors from Europe cannot acquire new shares and Eurobonds of financial institutions under sanctions. Also, banks “punished” by the West cannot carry out long-term financing (for a period of more than 90 days). However, according to Medvedev, the sanctions process will not continue indefinitely.

2. Yuan devaluation and weakening tenge

Russia, connected by long-standing economic relations with Kazakhstan, is affected by what is happening with its “neighbor”. The government of Kazakhstan decided to abandon the currency corridor; as a result, the position of the Kazakh currency, the tenge, weakened. And since the Russian and Kazakhstani economies are interconnected, the processes taking place in Kazakhstan explain why the ruble is falling again. As for the PRC, according to experts, the depreciation of the yuan against the dollar could lead to a continued outflow of capital from emerging markets and a drop in commodity prices (the sale of which in many respects depends on Russia).

1. Lower oil prices

The prime minister of Russia also included in the list of reasons for the weakening of the ruble a drop in the value of one of the most important minerals in the world. The Russian economy is largely dependent on oil exports, which makes it very sensitive to any fluctuations in world prices for this type of raw material, especially if it is unexpected and sharp. Medvedev called the current fall in prices of "black gold" the lowest point of quotations over the past 6 years. He clarified that if you take the 30-40-year period, you can see lower prices, but at the moment the cost of oil has become indecently low. And this explains why the ruble is falling today in the global currency market.

Share
Pin
Tweet
Send
Share
Send

Watch the video: Russian Ruble Tumbles To The Ground.. (June 2025).

Similar Articles

Smartphones with a good camera and a powerful battery 2020
Technics

Smartphones with a good camera and a powerful battery 2020

2020
10 most popular cars with mileage up to 3 years
Cars

10 most popular cars with mileage up to 3 years

2020
World Economic Freedom Rating 2018
Cities and countries

World Economic Freedom Rating 2018

2020

Leave Your Comment

Recommended

10 crystal mirror places on Earth

10 crystal mirror places on Earth

2020
Top 10 worst summer dangers

Top 10 worst summer dangers

2020
Rating of the richest heirs of Russia (Forbes)

Rating of the richest heirs of Russia (Forbes)

2020
The cleanest seas in the world: top 10

The cleanest seas in the world: top 10

2020

Popular Categories

  • Sport
  • Movie
  • Tourism
  • Cars
  • Games
  • Favorite
  • Cities and countries
  • Coronavirus
  • Technology Reviews and Tests
  • Information and News

Recent

Top 5 technological innovations of the week

The best Russian TV shows of 2019

Top 5 best manufacturers of MFPs

Top 10 worst films in the world

The 10 best laptops of 2018 in terms of price / quality

Rating of hypermarkets by the value of New Year's purchases

Actual

10 largest submarines in the world
The most in the world

10 largest submarines in the world

2020

While you are reading these lines, somewhere far away (or maybe not so far away), silent seas murderers hiding beneath the water column plow the seas. They are huge, powerful and deadly, capable of lurking for months in the depths, one day to deliver a decisive blow. No, it's not about the new horror movie and not about the documentary ...

Jokowi supporters try to prevent anti-Jokowi activist from entering Batam

5 financial habits that will help create capital in 2020

2020
Jokowi supporters try to prevent anti-Jokowi activist from entering Batam

Top 10 most unusual hotel pools

2020
Jokowi supporters try to prevent anti-Jokowi activist from entering Batam

The most ridiculous and stupid advertisement in Russia, 30 photos

2020
Jokowi supporters try to prevent anti-Jokowi activist from entering Batam

The most outstanding businessmen of our time, Forbes list

2020

The best in the world

The best in the world.

Recent

  • The best 2020 lenses for cameras
  • 10 slowest animals in the world
  • Top 10 New Plant and Animal Species

Popular Categories

  • Movie
  • Cars
  • Technics

© 2025 https://efuc.org

  • Information and News
  • The most in the world
  • Coronavirus
  • Tourism
  • Technology Reviews and Tests
  • Games
  • Articles
  • Sport
  • Technics
  • Medicine

© 2025 https://efuc.org