Russian currency under extreme pressure

Russia's Central Bank said it spent US$4.53 billion last week, trying to defend its currency, the rouble. 
    
The pronouncement came as the World Bank warned that the Russian economy would shrink by at least 0.7% next year if  oil prices do not recover.
    
The Russian Central Bank has spent more than US$70 billion so far this year, trying to slow the slide of  the rouble. It has been forced to defend its currency as Western sanctions, in response to its role in eastern Ukraine, and falling oil prices, begin to bite.   

But analysts have suggested the Russian Central Bank may have to increase interest rate by a significant margin to halt the slide in the currency. The bank raised interest rate by 1.5%, to 9.5%, in October.
It is widely expected that the rate will be raised again later this week.
    
On Tuesday, the rouble lost almost one per cent of  its value against the US dollar, closing trade at 54.25 roubles to one US dollar.