The exchange rate regimes in the world economy and the features of the currency regime in Russia

This paper reveals the concept of the exchange rate as a link between the internal and external markets. Currency regimes are classified according to monetary systems evolution. The study shows advantages and disadvantages of fixed exchange rate and floating exchange rate regimes, identifies the main factors that influence on their effective implementation. The currency regime in Russia is analyzed from a historical point of view. The author reviews the adherence of the Central Bank of Russia to the stated policy. The research distinguishes the reasons for the ruble exchange rate fluctuation in 2014-2015, as well as the mechanisms used by the Bank of Russia for currency stabilization. It is concluded about the choice of the best exchange rate regime for the Russian economy. The author identifies that using a floating exchange rate regime in Russia is possible only when eliminating financial and economic turbulence by implementing structural and institutional reforms.