Bank of Russia Governor Elvira Nabiullina said on Monday that the Russian economy is "entering a difficult period of structural changes" caused by the sanctions imposed by the West. "The sanctions primarily affected the financial market, but now they will begin to affect the economy more and more," she told the State Duma.
Nabiullina said Russia still has some reserves but warned they are "finite" and that the country will have to search for other solutions. "We have the opportunity to dispose of about half of the reserves, but these are gold, yuan and other assets not subject to sanctions risks. But they do not make it possible to manage the situation with the currency on the domestic market," she noted. She also asserted the central bank will not try to lower inflation "by any means" as this would "prevent businesses from adapting."
