A sharp drop in global oil prices triggered by U.S. President Donald Trump's tariffs poses a risk to the Russian economy, the state TASS news agency cited Elvira Nabiullina, the governor of Russia's central bank, as saying on Tuesday.
She was quoted as saying that the central bank was analysing the fallout, but as saying that a technical budget rule would smooth out the consequences for the budget.
As of Monday, Brent and WTI had slumped 14% and 15% respectively following Trump's April 2 announcement of "reciprocal tariffs" on all imports.
"You are absolutely right that the main channel of influence may be through changes in oil prices, specifically a decrease in oil prices," Nabiullina was quoted by TASS as telling members of the Russian lower house of parliament.
"If such tariff wars, and we are seeing an escalation of tariff wars, continue, it usually leads to a decline in global trade, the global economy, and possibly even the demand for our energy resources," she said.
The central bank said last week that U.S. tariff hikes may slow world economic growth and fuel inflation, while oil prices could be lower than forecast for several years as a result of reduced global demand.
The central bank forecasts an average oil price of $65 per barrel in 2025 and of $60 per barrel in 2026. The central bank will review its forecasts at its next board meeting on April 25.
(Reuters, April 8, 2025)
