The Central Bank of Russia has announced changes to its process of the rate calculation for USD/RUB exchange rates. The decision was taken to cushion the effect of the increased market volatility.
The central bank noted that the USD/RUB exchange rate will now be set based on the data from the Moscow exchange for trades executed from 10:00 to 16:30 (Moscow Time). Before now, the calculation was from 10:00 to 11:30 (Moscow Time). the extension of the time will enable the market to accommodate more trades.
The Document For Implementation Has Been Sent For Publication
The rate calculation for EUR/RUB has also been altered. According to the announcement, the rates will be set as official rates of other foreign currencies against the ruble. It will make the method of setting and publication much easier.
The implementation document has already been delivered to the Ministry of Justice and will be applied on the day it will be published.
The decision is connected to the impact of the Ruble against other cryptocurrencies as the war goes on in Ukraine. After Russia invaded Ukraine, the Western government decided to place Russia under severe caution. This affected the ruble heavily, as the Russian currency has been in free fall since the war began.
Russia Makes Efforts To Save The Economy From Collapse
While Russia is the aggressor in the current in Ukraine using its military power, its central bank is taking a defensive approach as it bids to save the ruble and the Russian economy from further collapse.
The sanctions seem to hit several areas of Russia’s economy, as the country’s richest people are now facing challenges to protect their investments abroad. As a result, the Russian central bank is taking various measures to cushion the effects of the sanctions. Western government regulators have also considered putting a strong regulatory structure in place for digital assets to prevent any evasion of the sanctions using crypto.