Russia’s Balance of Payments in Q3 2020

Alexandra V. Bozhechkova – Head of Monetary Policy Department of the Gaidar Institute; Senior Researcher of the Russian Presidential Academy of National Economy and Public Administration, Candidate of Economic Sciences (Moscow, Russia). E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

Pavel V. Trunin – Head of Center for Macroeconomics and Finance of the Gaidar Institute; Director of Center for Сentral Banks Studies of the Russian Presidential Academy of National Economy and Public Administration, Doctor of Economic Sciences (Moscow, Russia). Е-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

In Q3 2020, Russia’s favorable trade balance plunged compared to the same period last year due to a contraction in exports under a relatively stable volume of export deliveries. Nevertheless, despite a combination of the most adverse factors, current account balance remained favorable. Having said that, in July-September there was net outflow of capital that was due primarily by a reduction in financial liabilities before non-residents of other sectors of economy in the wake of raising geopolitical risks and decline in the interest of investors towards assets of developing countries. As a result, in Q3 2020, ruble’s exchange rate dropped by 14% and from the start of the year – by 29%.

Key words: balance of payments, export, import, current account transaction, ruble exchange rate, outflow/inflow of capital, Bank of Russia.