The Central Bank announced a new mechanism to combat volatility in the foreign exchange market - it will sell the currency from the NWF intended for the purchase of a controlling stake in Sberbank. After a statement in the first hour of trading on the Moscow Exchange, the dollar depreciated by more than a ruble.

      After the black Wednesday for the ruble, the Central Bank announced new measures to support the Russian market: on Thursday, the regulator began selling foreign currency from the National Wealth Fund as part of a deal to sell a controlling stake in Sberbank to the government. That is, the regulator will sell the NWF currency at the request of the Ministry of Finance so that the ministry later pays in rubles for Sberbank.

      “Additional sales of the Bank of Russia are calculated on the basis of full reimbursement of the falling supply of currency in the domestic foreign exchange market due to a decrease in export earnings from the sale of oil, oil products and natural gas when prices drop below $ 25 per barrel of the Urals brand,” the regulator said in a statement.

      Daily sales amounts will vary and depend on the deviation of the price of Urals crude below $ 25 per barrel. If this level is exceeded, operations will not be performed. The regulator will do this until September 30, 2020. And the sale mechanism after this date will be announced additionally.

      In parallel, the regulator will continue to sell the currency within the framework of the existing budget rule - with the price lowering below $ 42.4 per barrel.