Hoover Daily Report
Analysis and Commentary
Analysis and Commentary

Too Many Dollars?

by Alvin Rabushka, Michael S. Bernstamvia russianeconomy.org
Tuesday, February 20, 2001

Russia’s foreign currency and gold reserves have recently hit a new post-Soviet high, officially stated at $29.5 billion as of February 2, 2001. A rise in the domestic money supply has led some analysts to express concern that excess rouble liquidity may trigger inflation, which, in turn, could threaten both the internal and external competitiveness of Russia’s non-natural resource producers.