The Russian currency crisis could turn into a broader financial and economic crisis if its President Vladimir Putin doesn't signal a willingness to talk about its approach to Ukraine, Charles Dallara, the former managing director at the Institute of Finance, told CNBC on Wednesday.
That rout could also spill into other emerging markets and damage the United States' recovery, he added.
"A combination of the collapse of oil prices, the capital flight out of Russia and now another round of sanctions … have put the Russian economy on the brink," Dallara said in an interview with "Squawk on the Street."
"I think Putin will have to find a way to signal, even if it's a modest signal, an openness to dialogue."
Putin is expected to address the currency crisis in a speech Thursday.