Commentary on Political Economy

Monday 7 March 2022

Rouble’s fall gathers pace as fears raised over default

The value of the rouble has been wiped out after the West imposed an unprecedented package of sanctions on Moscow
The value of the rouble has been wiped out after the West imposed an unprecedented package of sanctions on Moscow
SERGEI KARPUKHIN/GETTY IMAGES

The rouble has slumped to new record lows and investors have raised the cost of insuring Russian debt amid fears that a besieged Vladimir Putin is poised to default on foreign creditors.

Russia’s currency sank to 133.5 roubles to the US dollar yesterday, accelerating already precipitous falls after Antony Blinken, the US secretary of state, raised the prospect of banning vital Russian oil exports to Europe that provide a lifeline of foreign currency to the country.The value of the rouble has been wiped out after the West imposed an unprecedented package of sanctions on Moscow in response to the invasion of Ukraine.

No comments:

Post a Comment