Ruble strenghtens after Putin try to reduce foreign debt
Tuesday, July 13th, 2010Vladimir Putin seek to cut the percentage of foreign currency loans more then 50 %. He imposed new tax breaks with reductions for local loans compared to foreign loans.
Russian Debt levels
Russian companies have $294 billion of international and 12.8 trillion rubles ($410.8 billion) of local loans, according to Bank of Russia.
Lower inflation and borrowing costs
The interest rate has been cut 14 times in Russia the last year, to 7.75 % in July. At the same time, inflation gone down drastically from over 10 % to 5.8 % in June. (more…)
