Russia's ruble strengthened on Friday after Finance Minister Anton Siluanov confirmed his ministry had sold foreign currency, and on expectations that exporters will increase dollar sales.
At the end of the day in Moscow, the ruble was about 4.5 percent stronger at 58.69 to the U.S. dollar, and had gained 4.2 percent to trade at 72.47 to the euro.
The ruble has seen intense selling pressure this week, and at one stage was down about 20 percent against the dollar, putting at risk the stability on which President Vladimir Putin has built his popularity.
The currency was on track to end the week more than 2 percent lower, though the market remains volatile amid thin trading volumes.
Analysts at Rosbank said the ruble could stabilize at about 60 to 62 per dollar on what they called the central bank's conservative approach to ruble liquidity, and the expansion of its forex repo mechanism.
Government pressure on exporters not to hoard their foreign exchange revenues is seen as another positive for the ruble.
The end-of-month tax period begins in earnest next week, when Russian exporters have to convert their overseas earnings into rubles to pay taxes to the state budget.
Siluanov said early Friday that the ruble would definitely firm at the beginning of next year.
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.
