MOSCOW, August 29. /TASS/. Despite limited movement of capital, the ruble’s exchange rate remains floating, the Bank of Russia said, adding that amid new conditions it is determined largely by the balance of importers’ demand for foreign currency and its supply from exporters.

"Despite limited capital movement the ruble’s exchange rate remains floating. Amid new conditions it is determined to a greater extent than previously by the balance of importers’ demand for foreign exchange and its supply from exporters. The influence of capital flows on the exchange rate dynamics remains less notable than previously," according to files released by the regulator.

The Bank of Russia switched to the floating exchange rate regime in November 2014. A floating exchange rate functions as a ‘built-in stabilizer’ of the economy, which is its key advantage over a managed exchange rate, according to the regulator. It also makes monetary policy independent on other countries’ policies and on the foreign economic environment.

On June 13, the Moscow Exchange suspended trading in the dollar and euro after the US Treasury imposed sanctions against it and the National Clearing Center, part of the Moscow Exchange group. The regulator uses bank reports and information from over-the-counter trading to determine the dollar and euro exchange rates to the ruble.