Emerging markets are being battered by the global financial crisis as investors shun assets seen as being riskier. Russia, the world’s largest energy supplier, has spent $210 billion, or more than a third of its currency reserves, supporting the ruble since August, Fitch said.
“The country made a mistake trying to defend the ruble when it was indefensible,” said Nouriel Roubini, the New York University professor who forecast a US recession two years ago, in an interview in Moscow. (via Fitch cuts Russian debt rating, sparks memories of '98 crash- International Business-News-The Economic Times).
The OECD and G7 should be asked to pay their purchases. In a new global reserve currency. And the BRICS need to start working on that.