Dollar exchange rate under 100 Rubles ahead of central bank meet

By Al Mayadeen English
Source: Agencies
14 Aug 2023 18:55
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The Bank of Russia's Board of Directors' meeting tomorrow is expected to provide insights into the direction that the central bank intends to steer the key rate.

Two men talk to each other at the entrance of a currency exchange office in Moscow, Russia, Monday, August 14, 2023 (AP)

The US dollar's exchange rate experienced a significant drop, slipping below 100 rubles, following an announcement by the Bank of Russia regarding an upcoming meeting to determine the key rate.

The forecasted exchange rate for the US dollar for tomorrow amounts to 99.68 rubles.

This depreciation is believed to stem from the central bank's scheduled meeting of the board of directors tomorrow, aimed at deciding the key rate: such that determining the key rate is expected to influence both local and global financial conditions.

The euro, too, witnessed a slight decrease in its projected exchange rate, dropping by 0.06 rubles to 108.72 rubles. Meanwhile, the yuan experienced a minor dip of 0.03 rubles, bringing its forecasted exchange rate to 13.67 rubles.

The Bank of Russia's Board of Directors' meeting on Tuesday, August 15, is expected to provide insights into the direction that the central bank intends to steer the key rate.

Back in July, it was reported that the Russian economy is outperforming Germany’s in terms of Purchasing Power Parity (PPP), especially given the country’s GDP growth.

The Russian economy was estimated by Russian specialists to grow by 2% this year.

Although the 2% figure is at the upper end of forecasts, Reuters polled a number of economists who formulated a consensus of 1.3% in growth while the IMF registered 0.7%. The Vienna Institute for International Economic Studies, specializing in Central and Eastern Europe, recorded 1%.