Why US dollar is worth 50 cents per ruble
A new US dollar bill has made its way onto the Russian market, marking a significant milestone for the country’s currency, which was worth only 50 cents in January.
The Russian government announced on Wednesday that the country will introduce a 50-cent currency by 2020, which is expected to boost the countrys economy by around 1.8 trillion rubles ($14.7 billion) according to data from the Central Bank of Russia.
According to Russian financial analysts, the 50-euro bill was issued by the Russian Central Bank in January and has been available in stores since then.
The dollar bill is the first to be introduced in Russia, with the government expected to introduce several other currencies, including the ruble and the euro, in the coming months.
The ruble has been on a downward trend since the collapse of the rubles trading rate in March, after the US dollar’s appreciation to over $1.10 per rubles in April 2015.
In June, the rublis traded at over 50 cents, and in September it reached a new record high of $1,265.
The dollar has since rebounded to around $1 per rublis.
Despite the recent appreciation, the Russian ruble remains less than half the $1 trillion mark that it was in late 2013, but that’s largely due to the fact that the rubling has been falling as the global economy struggles with the global economic crisis and geopolitical uncertainty.
The government hopes that the 50 cent ruble will stimulate the economy by pushing consumers and businesses to spend more.
The ruble’s exchange rate is expected, among other things, to help Russia with its debt problems and boost its foreign exchange reserves.
The new dollar bill will have to pass a regulatory review process before being sold in Russia.
The bill is expected in stores in mid-April, after which the government will decide whether to increase the price to 60,000 rubles.