Why Cant Central Banks Stop the Ruble Rout?

The video discusses the Central Bank's rate hike intended to stabilize the ruble, which failed due to geopolitical constraints and policy paralysis. The Central Bank's reluctance to use FX reserves, influenced by geopolitical tensions with the West over Ukraine, has left it in a difficult position. The ruble's overvaluation, structural economic problems, and falling oil prices exacerbate the situation. The discussion highlights the need for new policy ideas and leadership to address these challenges, comparing Russia's situation with other commodity-dependent economies.

What was the initial expectation regarding the central bank's rate hike and its effect on the ruble?

What reasons were given for the ruble being considered overvalued?

How did the central bank's actions reflect its stance on defending the currency?

What geopolitical factors were mentioned as influencing the central bank's decisions?

What were the implications of the central bank's policy paralysis on the currency?

What changes in the policy elite were suggested as necessary for Russia's economic situation?

How does the ruble's performance compare to other commodity currencies according to the discussion?