(Reuters] – On Thursday the Russian rouble gained strength, surpassing the 70 mark in comparison to the euro. The currency is now heading towards 65 against US dollars as the artificial support it receives from capital controls.

The rouble has become the world’s best-performing currency http://fingfx.thomsonreuters.com/gfx/rngs/GLOBAL-CURRENCIES-PERFORMANCE/0100301V041/index.html this year with support from capital controls that Russia imposed to shield the financial sector in late February after Moscow sent tens of thousands of troops into Ukraine.

After briefly reaching 65.0625 in February 2020, the rouble climbed more than 2 percent to 65.58 USD at 1003 GMT.

The rouble strengthened against the euro by more than 33%, reaching 68.28 after previously hitting 67.85. This is its highest level since January 2020.

Promsvyazbank stated in a note that the rouble might strengthen to 65 dollars per day.

Companies that are export-oriented have to convert foreign currencies. The demand for foreign currency is lower because Russia has a waning import market due to Western sanctions and disruptions in logistics.

Analysts say that the Russian government allowed parallel imports to increase the pressure on the ruble.

Moscow released last week a list of products from foreign automakers, technology firms, and consumer brands, which the government included in its “parallel imported” scheme. The purpose was to shield consumers against West-West business isolation.

The Russian stock market indexes showed mixed results. RTS was 0.7% higher at 1,132.6 points. At 2,354.8 points, it was 1.4% below its MOEX peer MOEX.

The shares of Russia’s second largest oil producer Lukoil plunged 1.8% after Shell (LON) announced it was buying Russian retail and petroleum lubricants business.

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