Russian ruble down after tax repayment period end

Russian ruble fell today, Wednesday, as it lost the support it received from a period to pay taxes, and the Russian currency is still under pressure due to Western restrictions on Moscow’s energy exports, which reduces its foreign exchange earnings.

At 0712 GMT, the ruble fell 0.3 percent against the dollar to 75.20, and lost 0.5 percent against the euro to trade at 79.82. It also lost 0.8 percent against the yuan, to record 10.86.

According to Reuters, the ruble has now lost the support it received from tax payments that were due at the end of February, as exporters have mostly transferred their foreign currency earnings, which increases demand for the ruble.

BCS World of Investments said in a note that Russian oil companies should take advantage of the opportunity for the gradual decline in the value of the ruble, which hit its highest level in seven years last summer, as they pay taxes and fees depending on the price of the dollar. Operating costs are largely determined in rubles.