What tools does Russia’s Central Bank have left to protect their currency as 18 Dec 2014?

  • FX intervention in the spot market (US$4.6bn in reserves), i.e. buy roubles from anyone who is selling.
  • Quantitative tightening, i.e. limit provision of rouble liquidity to the banking sector (opposite of Quantitative Easing).
  • Additional interest rate rises and, as a final resort, some form of exchange controls.
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