Central Bank predicted fate of dollar

The head of the Bank of Russia Elvira Nabiullin suggested that the role of the dollar both in Russian and the global market remains large, but interest in it will decrease over time, RBC reports.

Nabiullina emphasized that the Central Bank regularly discloses information about the structure of gold and foreign exchange reserves (ZVR). She told, the dollar decreased not only through the Foundation of National Welfare, but also in general in gold and foreign exchange reserves. In 2018, the structure of ZVL has significantly changed, and the share of the dollar has decreased due to the dollar economic, financial, geopolitical and sanction risks.

The head of the Central Bank predicted the fate of the dollar, stating that interest in Him will fall in favor of other currencies, including the euro. The share of such contracts is increasing now. “And this, accordingly, will gradually affect the structure of demand in the foreign exchange markets. Not only in Russian, maybe, but also on the global,” she said.

However, this process is unlikely to happen quickly, since such things do not happen sharply, “demanding many years and confidence in other reserve currencies.” “Many people say, and, probably, there is a share of justice that European financial markets are not such liquid, as dollar markets, not to mention other reserve currencies,” – concluded Nabiullin.

In the same interview with Nabiullin predicted the peak of inflation. In her opinion, the rise in prices in the annual expression in Russia will reach the peak in the current September.

/Media reports.