MOSCOW, (Reuters) – The Kremlin Monday stated that Russia’s economic reality has changed. However, it saw no reason for doubting the efficiency and reliability of its central bank. In an effort to safeguard the economy from Western sanctions unprecedented in scale, the central bank raised interest rates by 20%.

As the West wants to limit its capacity to use $640 billion in forex and gold reserves, the bank also implemented capital controls. It cut Russia’s largest banks from the SWIFT financial system. This makes it difficult for companies and lenders to receive and make payments. The rouble has fallen to record levels as a result.

Dmitry Peskov, spokesperson for the Kremlin, stated that “the economic reality has significantly changed.” While these are harsh sanctions that are very problematic and can be costly, Russia is able to mitigate the damage.

Russia has planned for sanctions for a while, even the most extreme. Response plans exist, and these are being executed as soon as possible.

Peskov stated that sanctions against Vladimir Putin were futile.

“(Putin), is completely indifferent. Peskov stated that the sanctions make absurd claims regarding some assets. “The president doesn’t have assets other that those he has already declared.”

Russia’s invasion of Ukraine is being punished by the West. Russia refers to it as “special military operations” that are meant to protect civilians.

Putin will discuss economic issues today. Peskov met with representatives including Central Bank Governor Elvira Nabinullina and Finance Minister Anton Siluanov.

Peskov answered questions about how the central bank handled the crisis. He stated that there was no evidence to question the reliability and effectiveness of their central bank. You don’t have any reason to doubt its effectiveness and reliability now.”