Slumping ruble should push Russia to ‘live in new reality’ – Bank chief — RT Business

Slumping ruble should push Russia to ‘live in new reality’ – Bank chief — RT Business:



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The plunging ruble is a signal for the Russian economy to adapt to new conditions, Russia’s Central Bank Chair Elvira Nabiullina said, following the surprise midnight decision to hike the key interest rate to 17 percent.



The regulator decided to increase borrowing costs by 6.5 percentage points to stymie wild inflation and the ruble, which has fallen to record lows after the bank stopped spending billions of dollars intervening. The hike shocked the ruble, bringing it down from 67 to 60 rubles to the dollar. At the time of publication, the ruble exchange rate was 65.59 against the US dollar.



“We must learn to live in a new reality, to focus more on our own resources to finance projects and give import substitution a chance,” the bank chief said in a televised address Tuesday."



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