Russian President Vladimir Putin makes a gesture while speaking at the St. Petersburg International Economic Forum (SPIEF) in St. Petersburg on June 7, 2024.
Anton Vaganov | AFP | Getty Images
Russian President Vladimir Putin said on Friday that nearly 40% of the country’s trade is now denominated in rubles, while the share denominated in dollars, euros and other “unfriendly” Western currencies has declined.
Speaking at the St. Petersburg International Economic Forum, Putin said that countries “friendly to Russia” deserve special attention because they will determine the future of the global economy. “They already account for three-quarters of our total economy.” .
He added that Russia would seek to increase the share of settlements conducted in the currencies of the BRICS, a group of emerging market economies that includes Brazil, Russia, India, China and South Africa.
Putin said payments for Russian exports in “so-called ‘toxic’ currencies of unfriendly countries” were halved last year.
“As a result, the ruble’s share in import and export business continues to increase and is now close to 40 percent,” Putin said, according to a translator.
The Russian president detailed plans for major reforms to the country’s domestic financial markets, including plans to double the value of Russia’s stock market by the end of the decade, reduce imports and increase fixed asset investment.
His comments come as the Kremlin uses the St. Petersburg International Economic Forum to forge new ties with countries in Asia, Latin America and Africa.
In response to Moscow’s full-scale invasion of Ukraine in February 2022, the West sought to cut off Russia’s $2 trillion economy.
The International Monetary Fund stated in its April “World Economic Outlook” that Russia’s economic growth is expected to be 3.2% in 2024, exceeding the United States’ forecast growth rate of 2.7% (2.7%). Growth rates in Germany, France and the UK are expected to be even lower, below 1%.
Russia says Western sanctions on its key industries have made it more self-sufficient, with private consumption and domestic investment remaining resilient. Continued exports of oil and commodities to countries such as India and China, as well as alleged evasion of sanctions and high oil prices, have allowed Moscow to maintain strong oil export revenues.
war in ukraine
Fighting in Ukraine has raged since Russia launched a full-scale invasion more than two years ago, with Moscow’s troops Recent weeks have secured tactical advances in northern and northeastern Ukraine.
Western leaders made passionate calls for continued support for Ukraine on Thursday to mark the 80th anniversary of the D-Day landings. US President Biden at the Normandy Landing International Commemoration Ceremony explain Giving in to Russian aggression was “simply unthinkable” and pledged that the United States would not relax its support for the eastern European country.
French President Emmanuel Macron joined Biden in praising Ukrainian troops for their courage in confronting Russian forces, adding: “We are here and we will not retreat.”
Ukrainian President Zelensky also attended the ceremony on Omaha Beach, explain On social media, the campaign was a reminder of “the courage and determination shown in the pursuit of freedom and democracy.”
Zelensky added: “The allies defended Europe’s freedom then, and Ukrainians do the same now. Solidarity prevailed then, and true unity can prevail today.”
Earlier this week, Putin It is said Russia said it may start providing long-range weapons to unknown actors to attack Western countries in response to Western countries lifting some restrictions on Ukraine’s use of weapons to strike military targets in Russia.
—CNBC’s Holly Ellyatt contributed to this report.
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