– This is the script of CNBC's news report for China's CCTV on December 9, Wednesday.
Welcome to CNBC Business Daily, I'm Qian Chen.
Russians have experienced a fair degree of hardship in the past but it's unclear how much economic turmoil citizens will tolerate, according to the chairman of UBS' Russian operations.
Speaking to CNBC ahead of the Moscow Exchange Financial Markets Conference in London Tuesday, UBS Russia Chairman Rair Simonyan said it was important that the country's authorities took care of domestic concerns amid growing geopolitical tensions.
In view of Russia's actions destabilising the situation in eastern Ukraine, the EU imposed economic sanctions in July 2014 and reinforced them in September 2014. In March 2015, the European Council linked the duration of those economic restrictions to the complete implementation of the Minsk agreements.
Speaking exclusively to CNBC at the Moscow Exchange London Forum on Tuesday, Alexei Kudrin,the country's former finance minister, acknowledged the ongoing impact of the western sanctions.
KUDRIN 020052 the downed russian plane certainly increased political risk, but on the whole, i expect that with the implemtentation of the Minsk agreements, we shall get to the point within a year, where we'll see a reduction in sanctions against russia. 021007 This is what i hope for.
"The Russian people have a long history of suffering and tolerance, and with the geopolitical tensions growing, people are much more prepared to have lower standards of living for a certain time," said UBS Russia Chairman Rair Simonyan.
With a weaker ruble, capital outflow from Russia in 2015 might amount to
$60-65 billion, according to Russia's Finance Minister.
Looking ahead into 2016...
If sanctions are to be reduced in 2016...
CNBC's Qian Chen, reporting from Singapore.