Russia may launch a new devaluation

Baku. 11 February. REPORT.AZ/ Government and the Bank of Russia may cohere in the solution of the problem of the budget deficit at the expense of the informal targeting the ruble.

Report informs referring to Reuters news agency, according to analysts, the Russian authorities are discussing the unwritten determination of desired level of the ruble, which will allow to partially compensate for the loss of the federal budget after the drop in oil prices.

The Government does not intend to publicly set any targets for the ruble exchange rate. However, Central Bank emphasizes that the exchange rate is determined by supply and demand in the market.

Note that the government calculated the budget for 2016, based on the average annual oil price of 50 USD per barrel, but for now oil prices fluctuate around 30 USD / barrel.

At current prices, the planned budget with a deficit of 3% of GDP, could be short of up to an additional 2.5 trillion. rubles (31.7 bln USD).

Finance Minister Anton Siluanov said that reserve fund will be used in order to cover the deficit.

Analytical Group of Report News Agency believes that another devaluation will increase the pressure on the national currencies of the CIS countries and countries with close trade ties with Russia will also be forced to reduce their rates.