Currencies Russia will ease the currency restrictions on export companies as the ruble strengthens

Russian the finance ministry has decided to loosen restrictions on capital movements as the ruble has stabilized from western economic sanctions.

The ministry said news agencies on Monday that Russian export companies are now required to sell 50 percent of their foreign exchange earnings to the market. Previously, export companies had to buy rubles for 80 percent of their foreign exchange earnings.

The ministry imposed these severe restrictions on capital movements after the ruble collapsed at the end of February due to economic sanctions imposed by the West.

Since then, the ruble has clearly recovered and strengthened by about 30 percent against the US dollar.

The ministry said in a statement on Monday that restrictions on capital movements could be relaxed as the ruble has stabilized and sufficient liquidity has been reached in local foreign exchange markets.

The ruble strengthened more than six percent against the euro and more than four percent against the dollar on Monday.