The ruble has fallen 19 percent against the basket since Russia’s invasion of Georgia in August, to 34.8216. That five-day war, the global credit squeeze and plunging oil prices have led investors to pull more than $200 billion out of Russian investments in the last five months, according to BNP Paribas SA.

“A large part of the government’s revenues, such as oil and gas export duties and extraction taxes, is dollar-denominated, so the ruble weakening certainly helps both the budget and income statements of the oil and gas producers,” said Ronald Smith, head of research at Alfa Bank in Moscow.

Full Story: Bloomberg

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