MOSCOW: The Russian rouble soared to a six-week high past 94 to the dollar on Tuesday, supported by higher oil prices and increased foreign currency sales by exporters as a month-end tax period approached.

By 0819 GMT, the rouble was up 1.1% against the dollar at 93.42, its strongest since Sept. 12.

It had gained 1.1% to trade at 99.41 versus the euro and firmed 1.1% against the yuan to 12.74 . Month-end tax payments usually see exporters convert foreign exchange (FX) revenues to pay domestic liabilities.

Additionally, President Vladimir Putin’s decree on mandatory FX sales came into force last week, requiring 43 groups of exporters to repatriate 80% and sell 90% of FX revenues.

The rouble has strengthened from beyond 100 to the dollar since the decree was first announced.

Aigenis Investment Company said in a report that the rouble’s weakness this year has been driven by capital outflows, while sanctions restrictions and geopolitical factors will keep the rouble in the 90-95 range in the longer term.

Russian rouble stabilises at near six-week high vs dollar

“We expect the rouble to strengthen significantly against the dollar between October tax payments and the end of December,” Aigenis said.

“During this time, the rouble may strengthen below 90 to the dollar at certain moments and reach the 85 mark.”

Brent crude oil, a global benchmark for Russia’s main export, was up 0.3% at $90.10 a barrel. Russian stock indexes were mixed.

The dollar-denominated RTS index was up 0.5% to 1,096.6 points.

The rouble-based MOEX Russian index was 0.4% lower at 3,250.3 points.