May 24 Reuters The Russian rouble strengthened to levels not seen since March 2018 against the dollar on Tuesday, boosted by exportfocused companies selling foreign currency to pay taxes and shrugging off a slight easing of capital controls.

The rouble has firmed about 30 against the dollar this year despite a fullscale economic crisis in Russia, making it the world39;s bestperforming currency.

The rouble is steered by capital controls imposed in late February to shield Russia39;s financial sector after Moscow39;s decision to send tens of thousands of troops into Ukraine prompted unprecedented Western sanctions.

At 0725 GMT, the rouble was 0.7 stronger against the dollar at 57.44 after firming to 56.61 on the Moscow Exchange for the first time in more than four years.

Against the euro, the rouble gained 0.9 to 59.57, hovering near sevenyear highs .

The currency39;s strength has raised concerns about the negative impact on Russia39;s budget revenue from exports. On Monday, Russia cut the proportion of foreign currency revenue that exporters must convert into roubles to 50 from 80. 

Despite the slight relaxation in capital controls, the rouble could firm to 55 against the dollar in the near term, said Dmitry Polevoy, head of investment at LockoInvest.

Current levels could be used to open long positions in foreign currencies by mid and longterm investors, Polevoy said.

The rouble may return to levels of 6065 against the dollar in June, Sinara Investment Bank said…