According to the latest report by the International Monetary Fund, the Russian ruble has been undervalued, while the US dollar has been overvalued.
The IMF said that the ruble is undervalued by around 5%. It added that increased geopolitical tensions led to the depreciation of the ruble, but did not change the overall estimate of its value.
Economists cited extension of US sanctions, a blow to major manufacturers and the mining industry as the reasons behind the decline in the exchange rate.
The report also said that the US dollar is overvalued by 8-16% compared with the medium-term fundamental value. A year earlier, the IMF estimated the overvaluation of the American currency at 10-20%.
Following the report, Russian media praised the IMF, saying it is a credible organization, after long being dismissive of all of its reports.