MOSCOW, February 11. /TASS/. The Russian Central Bank and the Finance Ministry do not consider influencing the ruble exchange rate dynamics either way; artificial influence will only hurt the economy, the regulator’s press service told TASS Thursday.
"The Central Bank and the Finance Ministry did not consider influencing the ruble dynamics either way. Artificial influence on the exchange rate ultimately cannot do anything to the Russian economy but harm," the Central Bank said.
According to the Central bank’s Chief Elvira Nabiullina, the bank does not fully abandon currency interventions.
"I stress that we do not abandon currency intervention completely," - she said.
She added that the Central Bank will continue to evaluate risks to financial stability when making decisions on entering the foreign exchange market.
The official stressed that the ruble rate can be stabilized only through diversification of the economy.
She named three ways to reduce the volatility of the ruble: currency interventions by international reserves, oil prices rebound and diversification of economy.
"The third and, in my opinion, the most correct scenario is to diversify the economy," - she said, explaining that if the economy is less dependent on oil, the ruble will stop responding to commodity prices.
"This is a more long-term, more serious task related not only to the monetary and fiscal policy," she said.
Earlier Reuters reported citing inside sources, that the government could include deliberately low exchange rate for budgetary calculations in order to balancing the budget at a lower oil price. According to one source of the news agency, the weakening of the ruble exchange rate by a ruble increases revenues by 35-40 bln rubles ($440.68 mln - $503.57 mln).
On November 10, 2014, the Russian Central Bank abolished previous exchange rate policy mechanism in force earlier and completed the transition to floating exchange rate. The weakening of the ruble began in the second half of 2014, when from June to December the Russian currency fell against the dollar 2.2-fold. Then, in 2015, against the backdrop of falling oil prices, the ruble fell against the dollar by 31%, by 17% against the euro. Since the beginning of the year, the dollar rose against the ruble by 8% - to 79.5 rubles, and the euro - 12% to 90.1 rubles.