icon bookmark-bicon bookmarkicon cameraicon checkicon chevron downicon chevron lefticon chevron righticon chevron upicon closeicon v-compressicon downloadicon editicon v-expandicon fbicon fileicon filtericon flag ruicon full chevron downicon full chevron lefticon full chevron righticon full chevron upicon gpicon insicon mailicon moveicon-musicicon mutedicon nomutedicon okicon v-pauseicon v-playicon searchicon shareicon sign inicon sign upicon stepbackicon stepforicon swipe downicon tagicon tagsicon tgicon trashicon twicon vkicon yticon wticon fm
4 Aug, 2022 15:04

Russia tackles ‘toxic’ dollar and euro

The Central Bank suggests firms should dump their dollars and euros in favor of “friendly” denominations
Russia tackles ‘toxic’ dollar and euro

Russia’s central bank has called on manufacturers and non-financial services providers to convert their dollar and euro holdings to “friendly” currencies such as the Chinese yuan.

The proposal was put forward in a document for public discussion released by the regulator on Thursday, dedicated to developing key areas of the financial market under sanctions.

“The blocking of Russian assets by unfriendly countries, as well as operational restrictions on settlements in the world’s major reserve currencies, create risks for citizens and businesses when using the US dollar and the euro,” the Central Bank said.

Additional measures will be taken to reduce banking operations in these currencies, the regulator added.

In May, Finance Minister Anton Siluanov called the dollar and the euro “toxic currencies” for Russia, as their use was restricted in the country amid unprecedented Western sanctions. Instead, Moscow has chosen to switch to trade in rubles and the currencies of so-called “friendly” nations, which didn’t join the American, European and British sanctions against the country.

For more stories on economy & finance visit RT's business section