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The rubel degraded once again

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Another round of degrading

Yet another rating agency has swung the wip over Russia, lowering the rating of the country’s finances. This is the second time in a short while that a rating agency has lowered the rating of Russia’s finances. Russia is the only menber of the G8-club, that has experienced that the rating was influenced negativly by the financial crises.

The foreign currency reserve has shrunk

It is the rating agency Fitch who this time has lowered the rating, but as mentioned, they are not the first to rate the country negatively, as the rating agency Standard & Poors did so aswell in december.

The reserve down by 210 billion dollars

The lowering of the rating comes due to the shrinking of the foreign currency reserve, which since july has shrunk by 210 billion dollars. This has happened eventhough the Russian Central Bank has tried to keep the rubel up high, defending the rubel while the investors has been selling out in great manners.

Difficult financial situation

Russia is in a very difficulr situation. Much points toward highering the interest rates to seceure the valuta but on the other hand just as much points toward going a bit easier to the financial policy.

Written by admin

februar 4th, 2009 at 8:32 pm

Posted in economics

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