- Oct 25, 2021
- Reaction score
Bank of Russia to Charge for Digital Ruble Transfers
The Central Bank of Russia (
Speaking at a forum under the banner “Banking System of Russia: Ensuring Availability of Services and Resources in the Face of Increasing Risks,” Pronin further noted that the fees will certainly not exceed the costs of transfers with Russia’s Faster Payments System (
We assume fees on transactions with the digital ruble will be lower than existing fees on wire transfers for market participants and definitely not higher than commissions within the FPS framework.
Russia launched its Faster Payment System in January 2019. It allows Russian residents to send money using only a phone number and pay for goods and services with a QR code. Transfers of up to 100,000 rubles per month (approx. $1,350) are free of charge. A fee of 0.5%, but not more than 1,500 rubles (around $20), is applied to transfers exceeding this amount.
The Russian Federation’s central bank digital currency (
Bank of Russia started contemplating a digital ruble back in 2018 and decided to explore the possibility of issuing the CBDC last year. A consultation paper was published in October 2020 to gather feedback from financial sector players and other stakeholders. In April 2021, the authority released a digital ruble concept outlining its principle architecture.
In June, the monetary authority formed a pilot group joined by over a dozen banks. CBR plans to complete the platform’s prototype in December 2021 and commence trials in January 2022. Elvira Nabiullina, the bank’s chair, recently
Do you think Russians will prefer to use the digital ruble platform over existing methods of money transfer? Tell us in the comments section below.