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Ruble goes bad

Currency exchange desks in Moscow.

The ruble continues to slide and reached all-time low against both Norwegian kroner and the euro on Friday.

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The ruble has fallen 6 percent since New Year and on Friday afternoon you had to pay 47,66 rubles for one euro. For one Norwegian krone, the exchange rate at the banks in Murmansk was 5,70 rubles by closing hours. 

The fall comes despite the Russian Central Bank has pouring more than $1 billion per day over the last week, the ruble fell 3 percent since last Friday, reports Kommersant.

The newspaper writes that international investors are concerned about reduction of monetary stimulus programs for the U.S. economy and therefor withdraws investment from emerging markets like Russia. Other emerging markets’ currencies, like Turkey, Brazil and South Africa have all seen a slide this January.

A negative impact is also seen on Moscow’s stock market the last few days.

The Moscow Times reports about a surge in customers clamoring for hard currency. The 1998 financial crisis is still remembered by many Russians.

On Wednesday, Russia’s Economic Development Minister Alexei Ulyukayev warned the Cabinet that if the ruble continues to weaken it will result in more expensive imports and could boost inflation.