Sanctions, falling oil price cost Russia $140b yearly
Updated: 2014-11-25 13:16
(Xinhua)
|
|||||||||
MOSCOW - Russia might suffer a loss of at least $140 billion annually as a result of the adverse impact brought along by economic sanctions and falling oil prices, Finance Minister Anton Siluanov said Monday.
"We lose about $40 billion due to sanctions and another $90-$100 billion due to the 30-percent drop of oil price," Siluanov said at an international economic forum here. He insisted that western sanctions are not the factor as much critical as global market prices of Russian exporting commodities to influence the Russian budget and ruble's exchange rate.
Geopolitical factors have caused foreign investments into Russian economy to shrink, coupled with the trend of common people and businesses converting ruble assets into foreign currencies, Interfax news agency quoted Siluanov as saying.
Siluanov estimated Russian economy would lose about $130 billion this year.
The Russian ruble has fallen approximately 23 percent against the US dollar in the past three months as a result of falling oil prices and economic sanctions imposed by the US and the EU.
"Ruble depreciation has paralleled the 30-percent price fall of Brent crude oil since the start of 2014. The ruble exchange rate will follow oil prices," Siluanov said.
Crude prices have slumped more than 30 percent since June and hovered near a four-year low, due to multiple reasons such as weakening demand of China and excessive production. OPEC ministers also plan to meet in Vienna, Austria, Thursday for coordination of their countries' policies.
Siluanov admitted that thanks to high oil prices in the previous years, the nation has lived more affluently than it could actually afford, suggesting Russians have to "tighten their belts".
- Ferguson grand jury has reached decision
- Top 7 affects of rate cut on people's life
- 42nd International Emmy Awards held in New York
- People visit Christmas market in Berlin
- Forbidden City more welcoming
- Olympic champ Sun Yang failed doping test in May
- Top 10 kinds of foreigners in China
- Trending: Hangzhou man licks out painting
Most Viewed
Editor's Picks
World Internet Conference |
Drug abuse blamed for big increase in violence |
A commuter's last train |
Stock Connect unites HK, Shanghai |
Air force plans to modify pilot selection process |
Koalas steal the show at G20 in Brisbane |
Today's Top News
Hagel move won't affect China-US ties: experts
China's nuclear power bid saluted
No indictment of officer in fatal Missouri shooting
Chinese real estate stocks continue rise on rate cut
Women entrepreneurs get financial tips
Wealthy want kids to study abroad
Breast cancer study receives $1.5 million grant
SAT scores canceled for some test-takers in China, Korea
US Weekly
Geared to go |
The place to be |