Russia economy crisis as ruble plunges to shock lows against US dollar and euro

The Russian ruble has seen a dramatic drop against the US dollar and euro in a fresh blow for the country's economy and Vladimir Putin.

Exchange rate data suggests that this morning the currency fell lower than 86 rubles against the dollar, and below 90 rubles for the euro.

Pan Pachkovsky raised the dip on X, stating at 7.38am that the over-the-counter dollar exchange rate fell below 86 rubles, and the euro below 90 rubles.

They added: "An old-style (white) dollar in cash can be bought for 90 rubles, but you'll have to look for a new (blue) dollar for 95 rubles."

As of 8.19am, the ruble is at 86.8908 to the dollar, and was 91.01 against the euro at 8.21am.

It comes as an expert warned that Russia is in a precarious financial position.

George Barros, the Russia Team & Geospatial Intelligence (GEOINT) Team Lead at the Institute for Study of War in Washington, said last week: "Fundamentally, Vladimir Putin did not prepare to wage and sustain a protracted war.

"He thought this was going to be a war of six months maximum and what we've really seen is the absence of a long-term strategy. And because he didn't plan to do this, he's had to rob Peter to pay Paul in a variety of places.

"The bottom line is, Russia has been cannibalising the national wealth that Putin built for Russia, starting in around the 2000s with the high oil prices that Putin used to build the sovereign wealth fund.”

On Monday, Putin's full-scale invasion of Ukraine turned three years old.

French President Emmanuel Macron suggested yesterday that a truce could be reached amid discussions between US and Russian officials in weeks.

He added that he was working with Sir Keir Starmer on a proposal to send peacekeeping troops to the region.

Macron said: "Not to go to the front line, not to go in confrontation, but to be in some locations, being defined by the treaty, as a presence to maintain this peace and our collective credibility with the US backup."