Different structures of economies pose barrier to Belarus-Russia single currency launch – Tsepkalo
<p> MINSK, Jun 23 - PrimePress. The different structures of the national economies of Belarus and Russia pose a barrier to the single currency launch, presidential aspirant, former head of the High-Tech Park Valery Tsepkalo told Russian RIA Novosti news agency. </p> <p> </p> <p> “Belarus does not want the Russian ruble [as a single currency]. Russia does not want the Belarusian ruble in this capacity. Neither party considers any currency other than the Russian or the Belarusian ruble to be a single currency. Besides, the national economies are structured differently. Belarus is seeking low prices for energy commodities, metals, etc., whereas Russia is objectively interested in setting higher prices,” Tsepkalo said. </p> <p> </p> <p> He said “these prices are determined by the external environment.” “Apparently, an upsurge in prices for energy commodities and other raw materials would pull the Russian ruble up, and bring the Belarusian ruble down, and vice versa. What would happen if they are pegged to each other? How the countries are supposed to balance with a single currency and different economic structures?” said Tsepkalo. </p> <p> </p> <p> “It was a different era when all this was prescribed by the Treaty. And, by the way, the energy prices were low. In that scenario, the cost of energy commodities and base raw materials did not matter at all. The marginality was minimal. It was impossible to make money on that. It [the single currency] was, probably, possible at that time, while today, when this [raw material prices] is an essential factor for the Russian and Belarusian economies, I think this is a key obstacle to an efficient single currency,” Tsepkalo said. End </p>
2020-06-24
Primepress
Different structures of economies pose barrier to Belarus-Russia single currency launch – Tsepkalo
MINSK, Jun 23 - PrimePress. The different structures of the national economies of Belarus and Russia pose a barrier to the single currency launch, presidential aspirant, former head of the High-Tech Park Valery Tsepkalo told Russian RIA Novosti news agency.
“Belarus does not want the Russian ruble [as a single currency]. Russia does not want the Belarusian ruble in this capacity. Neither party considers any currency other than the Russian or the Belarusian ruble to be a single currency. Besides, the national economies are structured differently. Belarus is seeking low prices for energy commodities, metals, etc., whereas Russia is objectively interested in setting higher prices,” Tsepkalo said.
He said “these prices are determined by the external environment.” “Apparently, an upsurge in prices for energy commodities and other raw materials would pull the Russian ruble up, and bring the Belarusian ruble down, and vice versa. What would happen if they are pegged to each other? How the countries are supposed to balance with a single currency and different economic structures?” said Tsepkalo.
“It was a different era when all this was prescribed by the Treaty. And, by the way, the energy prices were low. In that scenario, the cost of energy commodities and base raw materials did not matter at all. The marginality was minimal. It was impossible to make money on that. It [the single currency] was, probably, possible at that time, while today, when this [raw material prices] is an essential factor for the Russian and Belarusian economies, I think this is a key obstacle to an efficient single currency,” Tsepkalo said. End