The exchange rate is now directly controlled by the Central bank. Trade with China is very problematic - sometimes it takes several months to complete a single transaction.
> The exchange rate is now directly controlled by the Central bank.
This is false. I don’t know where you have got this, when all information is public and easily available. Here’s how the official exchange rate us determined:
They just collect the data on OTC transactions from banks. The only way for Russian central bank to influence the exchange rate is to sell/buy and they do it only to stabilize the market when volatility is high. They do not have exchange rate targets and do not enforce specific rates in transactions.
ivan_gammel|1 year ago
This is false. I don’t know where you have got this, when all information is public and easily available. Here’s how the official exchange rate us determined:
https://cbr.ru/Content/Document/File/162004/metod_6290-u.pdf
They just collect the data on OTC transactions from banks. The only way for Russian central bank to influence the exchange rate is to sell/buy and they do it only to stabilize the market when volatility is high. They do not have exchange rate targets and do not enforce specific rates in transactions.