25.12.2023, 10:07
The conditions for the purchase of currency by the Bank of Russia have been named
Source: OREANDA-NEWS
OREANDA-NEWS The Bank of Russia may start buying yuan as part of the budget rule if the price of Brent crude oil rises to $88-90. Such conditions were called by the head of the regulator Elvira Nabiullina, she is quoted by RBC.
"Whether we will be a net seller or a net buyer largely depends on the price of oil. If the oil price remains at the current level, then we will be a net seller of the currency. If the oil price is 88-90 dollars per barrel of Brent, then we can switch to the status of a buyer of the currency," explained the representative of the regulator.
Earlier, the Bank of Russia abandoned limits on mirroring in the foreign exchange investment market. Thus, the regulator confirmed the assumption of analysts that they are ready to sell more Chinese yuan in order to strengthen the ruble.
According to the head of the Ministry of Finance of Russia Anton Siluanov, the design of the budget rule will not be changed in the near future. The principle created to determine the marginal cost of filling the National Welfare Fund (NWF) assumes a cut-off price for oil of more than $ 60 per barrel. In 2024, the transition period will continue to operate, and the new rule will be fully respected from 2025, he added.
After the announcement by the leadership of Angola, one of the largest oil producers, to withdraw from the Organization of Petroleum Exporting Countries (OPEC), the price of Brent crude oil fell below $ 79 per barrel. At the minimum, the quotes dropped to $ 78.7. Before this news, the price of Brent was rising due to Houthi attacks on ships in the Red Sea.
"Whether we will be a net seller or a net buyer largely depends on the price of oil. If the oil price remains at the current level, then we will be a net seller of the currency. If the oil price is 88-90 dollars per barrel of Brent, then we can switch to the status of a buyer of the currency," explained the representative of the regulator.
Earlier, the Bank of Russia abandoned limits on mirroring in the foreign exchange investment market. Thus, the regulator confirmed the assumption of analysts that they are ready to sell more Chinese yuan in order to strengthen the ruble.
According to the head of the Ministry of Finance of Russia Anton Siluanov, the design of the budget rule will not be changed in the near future. The principle created to determine the marginal cost of filling the National Welfare Fund (NWF) assumes a cut-off price for oil of more than $ 60 per barrel. In 2024, the transition period will continue to operate, and the new rule will be fully respected from 2025, he added.
After the announcement by the leadership of Angola, one of the largest oil producers, to withdraw from the Organization of Petroleum Exporting Countries (OPEC), the price of Brent crude oil fell below $ 79 per barrel. At the minimum, the quotes dropped to $ 78.7. Before this news, the price of Brent was rising due to Houthi attacks on ships in the Red Sea.
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