Russia’s Elite Split Into Squabbling Factions Over the Ruble
- Depreciation forced rate hike, discussion of capital controls
- Central bank took the blame after long warning of price risks
A turbulent week is over for the ruble, but the widening policy divide it revealed within Russian officialdom is here to stay.
As the currency neared the level of 100 per dollar, authorities sprung into action. But behind the scenes, the rescue operation showed a government that’s rarely been so split on matters of critical economic priorities — a vulnerability at a time the country is trying to sustain the biggest conflict in Europe since World War II.