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Kremlin assures all basic conditions for macroeconomic stability maintained

All markets develop in a sinusoidal way, Dmitry Peskov notes

MOSCOW, November 26. /TASS/. Kremlin Spokesman Dmitry Peskov sees no reason to worry about the current outflow of capital from Russia, since the basic principles of macroeconomic stability are being observed.

When asked how the Kremlin evaluated the capital outflow from Russia, he replied: "The situation on global markets is quite volatile, we see that the volatility is quite considerable now and there is also significant volatility in our markets."

He noted that "all markets develop in a sinusoidal way, money comes and goes."

"In this case, there is no reason for any concerns, because all the fundamental principles of macroeconomic stability are being observed," the Kremlin spokesman insisted.

On November 11, the Bank of Russia reported that the net capital export by the private sector from Russia gained 53.9% year-on-year to $65.7 bln in January-October 2021 under the preliminary estimate. The figure was $42.7 bln in January-October 2020.

The regulator explained that the surplus in the private sector’s financial transactions had increased by $23 bln over the previous year, mainly as a result of foreign investment by other sectors. According to the Bank of Russia’s estimate, capital export by the private sector from Russia totaled $47.8 bln in 2020, which more than doubled on an annual basis.