The Russian ruble has strengthened by approximately 13% since the beginning of the year, according to Bloomberg News. The agency reports that the Russian currency has become the most effective in the group of growth markets. Anatoly Aksakov, chairman of the State Duma’s financial market committee, attributes the ruble’s recent surge to the potential return of foreign companies. In an interview with Rossijskaja Gaseta, he stated, “American companies are optimistic that the situation will develop in a positive direction and that the turnaround in Russian-American relations will indeed occur: hostilities in Ukraine will cease and sanctions will be gradually lifted. In order to operate in Russia, foreign companies need to purchase, rent, or pay for something, which requires the sale of currency, thus strengthening the ruble’s exchange rate.”
Denis Popov, an expert at Promswjasbank, believes it is likely that the ruble will continue to rise in the short or medium term, citing the reduction of geopolitical tensions and the increasing foreign exchange business of exporters as reasons for the currency’s strengthening. However, experts note that the ruble is likely to return to its previous values if a breakthrough in conflict resolution in Ukraine does not occur.