Deputy Chairman of the Central Bank Zabotkin spoke out against restrictions on capital movements

Deputy Chairman of the Central Bank of Russia Alexey Zabotkin said that the regulator opposes the introduction of additional restrictions on the movement of capital. This is how he responded to the Ministry of Finance’s proposal to consider the issue of partial return currency control to prevent the outflow of capital from the Russian Federation to friendly countries.

“In general, we do not support strengthening restrictions on the movement of capital. We believe that those restrictions that remain, they remain solely due to the logic of symmetry of actions in relation to the restrictions that are imposed on us as part of the sanctions,” Mr. Zabotkin said during a meeting of the State Duma Committee on the Financial Market (quote from TASS).

During the same meeting of the Duma Committee, Deputy Minister of Finance of Russia Alexey Moiseev reportedthat the government is now considering the option of partially restoring foreign exchange controls. These measures, he said, are needed to curb the outflow of capital to friendly countries.

In addition, the Ministry of Finance offers introduce repatriation of foreign exchange earnings of exporters. Now the department is discussing different options for the operation of this mechanism, as well as interest rates and currencies in which such a mechanism should be installed. However, the Central Bank is currently opposed to this idea.

Alexander Kislov