Belarusian ruble weaker

Despite a governmental prognosis of strengthening the national currency, Belarusians still have to pay 8 thousand rubles for a dollar in an exchange office. The authorities have announced that dollar rate should go below 5 thousand rubles. Further more, the Belarusian president promised during a press conference that by the end of this year, people would have forgotten about the crisis at the currency market.

The recent statements by the head of the National Bank are behind the fluctuations of the currency, according Jauhen Prajherman, an independent economist. Nadieza Yermakova, the president of the central bank informed in the parliament that she was expecting a sudden increase in the price of dollar, hence a need of intervention in the currency market.

Mr. Prajherman also blames recent government hand-outs – retirees received 500 thousand rubles of one-time relief money – for weakening ruble. „People understood that these were worthless money, just pumping inflation. In such circumstances, ruble will not be stronger, because the demand for it will increase.” – he told Belsat.

The economist doubts the free-market character of an additional trading session at the Belarusian Stock and Currency Exchange held in order to estimate the market value of ruble. „It was clear, that the administration played a major role [during the session].” – said Prajherman. Should the authorities continue to control currency rates, it will result in a growth of export and another devaluation of ruble, thinks the expert.


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