Russia Able to Withstand $25 Per Barrel Oil Prices - Central Bank Chief

Governor of the Bank of Russia said that Russia is able to withstand global oil prices as low as $25 per barrel, although prices are more likely to stand at $40-50 over the next two years.

MOSCOW (Sputnik) – Russia is able to withstand global oil prices as low as $25 per barrel, although prices are more likely to stand at $40-50 over the next two years, Governor of the Bank of Russia Nabiullina said.

"We perform stress scenarios of $25 per barrel. It is an unlikely scenario, but even that is not catastrophic for Russia, although it may lead to a weakening of the ruble," Nabiullina said in an interview with Forbes magazine published Thursday.

The banking chief said in September that six-month stress tests indicated the Russian banking system's resistance to external shocks, including in the likelihood of oil prices plunging further than the current $48 per barrel.

Nabiullina added that the central bank's forecast suggests a high degree of probability that prices in the next two years are expected to hover at $40-50 per barrel.