According to the latest data from Bloomberg, since the beginning of 2025, the ruble has increased by 38% against the USD, becoming the strongest currency to increase in value globally.
At the same time, gold - the traditional haven - increased by only about 23%. This is a surprising development in the context of Russia still suffering from many international sanctions.
According to experts, the impressive increase of the ruble comes from a "policy cluster" closely operated by the Russian Central Bank, along with a somewhat positive geopolitical impact in recent times.
First is the record high interest rate. Since October 2024, Russia has raised the basic interest rate to 21% - the highest since the beginning of the Ukrainian conflict - to curb inflation. This not only limits import demand, but also makes the rub one of the world's most attractive yield currencies.
In addition, regulations forcing exporting enterprises to convert a portion of foreign currency revenue to rubles - a response to the embargo - have invisibly created strong demand for this currency.
Unlike many other countries, Russia is not currently facing a massive withdrawal of capital. Thanks to capital control, Russia is almost immune to risky asset flight, Sofya Donets, an economist at T-Investments, said.
Another surprising factor is the heating up diplomatic atmosphere between Russia and the US in recent times. The two sides' shown of goodwill to find a solution to the Ukrainian conflict has increased the confidence of international investors in the Russian market, creating momentum for cash flow to return.
Economist Iskander Lutsko from Istar Capital said that many investors are looking to countries that maintain relations with Russia to access high-yield Rup assets. He predicted that this trend will continue, as there is no sign that Rup will weaken in the next quarter.
The USD has recently lost sharply, hitting a 6-month low after President Donald Trump announced a global counterpart tax. Although most of the tariffs have been postponed for 90 days, the global financial market is still in turmoil. Investors are starting to question the protective capabilities of the US dollar and bonds - which has unintentionally made Rup emerge as a bright spot replacement.
On April 18, the USD exchange rate in the Russian interbank market fell below 81 rubles for the first time since March 2025. Meanwhile, the Euro and the yuan also fell sharply against the ruble.
Russian stocks both increased in points: MOEX and RTS both increased by more than 0.5% in the morning session of April 18. Notably, the yuan fell below 11 rubles for the first time since June last year.
The ruble, which was underrated as Russia was financially isolated, is now showing impressive rebound. With a spectacular comeback, the ruble has become a "bright star" of the global currency market in 2025.
