Putin obliged exporters to sell foreign currency earnings to stabilize the ruble

Russian President Vladimir Putin signed a decree “On the implementation of the mandatory sale of proceeds in foreign currency received by individual Russian exporters under foreign trade agreements.” The decree applies to 43 groups of companies that belong to the fuel and energy complex, ferrous and non-ferrous metallurgy, chemical and forestry industries, and grain farming. Measures have been taken to stabilize the ruble exchange rate.

According to the decree, for a period of 6 months mandatory for certain companies repatriation and sale of foreign currency earnings on the Russian market. Their volumes and timing will be established by the government. An obligation is also being introduced for individual companies introduce to the Bank of Russia and Rosfinmonitoring schedules for buying and selling currencies on the domestic market. To individual companies commissioners are introduced representatives of Rosfinmonitoring who will check compliance with the rules currency regulation.

“The main goal of these measures is to create long-term conditions for increasing the transparency and predictability of the foreign exchange market, and reduce the possibility of currency speculation. We hope that the introduced obligations to sell foreign currency earnings will not become burdensome for bona fide market participants,” First Deputy Prime Minister Andrei Belousov explained the presidential decree (quoted from government press service).

The news is being updated.