Ruble strengthening is negative for exporters, but positive for curbing inflation; exchange rate forecast for year will be met - Novak

MOSCOW. March 18 (Interfax) - The Russian government assesses the situation with the strengthening of the ruble as a negative factor for exports, but positive for inflation dynamics, caused by market mechanisms, including a temporary drop in imports and inflow of foreign capital into the Russian market, Deputy Prime Minister Alexander Novak told journalists.

"We are, of course, seeing volatility. For exporters, this is indeed a negative factor, but nevertheless, it plays a positive role from the point of view of lowering inflation, so we'll see. This is market-related," he said on the sidelines of the RSPP congress.

Asked whether there is any need to intervene with the exchange rate in the current situation, he said: "The issue of intervention - there's no such tool, there is market balance, a market means of determining the exchange rate."

"Today the balance is such that imports appear to be somewhat lower than last year. We are also seeing an inflow of foreign capital into the domestic market, taking into account the geopolitical situation. Given the forecast for imports to recover, I think at on average for the year we will still see those figures that are written into the socio-economic development forecast," Novak said.