Dramatic reduction of Russian reserves forecasted
Analysts from the RBC Capital Markets believe Russian reserves might shrink with 50 percent by the end of the year as the country’s economic problems deteriorate.
“Russia’s foreign-currency reserves could drop to 200 billion USD by the end of 2009 as the Central Bank sells dollars and euros in order to prevent further devaluation of the country’s currency, analysts led by Nick Chamie, head of emerging markets research in Toronto, wrote in a research note on Friday, the Sankt Petersburg Times reports.