Russian Finance Minister Alexei Kudrin forecasts that the U.S. dollar will fall against other global currencies. “The dollar will fall, the question is how fast,” Kudrin said on Wednesday, Feb. 21, giving a lecture at Moscow’s Higher School of Economics.

“This is partially result of the Federal Reserve System’s policy to support the competitiveness of the U.S. economy,” the Russian minister explained, quoted by RIA Novosti/

Speaking about situation in Russia, Kudrin pointed out that the country is strengthening its domestic currency. “Is it good or bad?” he asked the students. The Finance Minister went on to say that in his opinion, strengthening of the ruble is good for regular citizens, who dollar-denominated salaries are growing, but bad for the enterprises.

He noted that strengthening of the ruble prevents manufacturers from increasing labor productivity and lowering self-costs of production. This in turn reduces competitiveness of domestic producers.

Alexei Kudrin believes that Russia “has entered a dangerous zone in terms of competitiveness” of its economy.

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