(Reuters) – Russia’s central bank raised its key interest rate to 17 percent in the early hours of Tuesday morning in an emergency move to halt a collapse in the ruble as oil prices decline and the country’s sanctions-hit economy slides towards recession.
The ruble RUB= RUB=EBS strengthened sharply after the decision, recouping some of its heavy losses on Monday, when the currency staged its largest one-day fall since 1998.
“This decision is aimed at limiting substantially increased ruble depreciation risks and inflation risks,” the central bank said in a statement.
The decision is effective from Dec. 16 and brings the cumulative increase …read more
Source: Newsweek
