On Monday, the Russian rouble strengthened by more than 6% against the euro, reaching a near seven-year high, helped by capital controls, high oil prices, and the approaching month-end tax period.

By 1338 GMT, the rouble had risen 6.3 percent against the euro to 58.75, its highest level since early June 2015.

It was 4.6 percent higher against the dollar at 57.47, not far from its highest level since late March 2018, when it hit 57.0750 on Friday.

Despite a full-fledged economic crisis in Russia, the rouble has gained about 30% against the dollar this year, making it the best-performing currency in the world – albeit artificially supported by controls imposed in late February to protect Russia’s financial sector after its decision to send tens of thousands of troops into Ukraine prompted unprecedented Western sanctions.

Export-oriented enterprises are driving the rouble, as they are forced to convert foreign currency receipts after sanctions froze roughly half of Russia’s gold and forex reserves.

While the central bank and government maintain their constraints, Tinkoff Investments analysts believe the rouble will continue to gain in the medium run.

“As imports recover and limitations are potentially relaxed closer to autumn, the currency rate may start to stabilize nearer to the 60-65 level.”

Analysts at Otkritie Bank believe the rouble would strengthen to 55 to the dollar in the next month before dropping to 70-80 by the end of the year.

According to observers, Russian demands that international buyers pay for gas in roubles have also helped the rouble’s recent surge.

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