Economics

Five Years After Meltdown, Ruble Is Reborn as Trade-War Refuge

  • Nabiullina’s ruble free-float pivot was tested in Dec. 2014
  • Now, high-yielding Russia market enters 2020 a haven among EMs

Pedestrians walk beside the River Neva past the Peter and Paul Fortress in St. Petersburg.

Photographer: Andrey Rudakov/Bloomberg
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Five years ago, central bank Governor Elvira Nabiullina’s decision to let the ruble trade freely faced a gut-wrenching test. An oil-price collapse and international sanctions had put the currency into a nosedive that even a 650 basis-point rate hike couldn’t immediately halt.

Fast-forward half a decade and the picture in Russian markets couldn’t look more different.