The original measures implemented by the Bank of Russia aimed to support NPS entities in the context of new money transfer conditions caused by restrictions imposed by foreign states. This initial package expired on 1 January 2023, but the bank has decided to further expand two support measures for NPS entities.
One of these measures involves the non-application of enforcement measures for a failure to register a payment system operator in the case of credit institutions’ compliance with the criteria stipulated by Part 39 of Article 15 of Federal Law No. 161-FZ, dated 27 June 2011, ‘On the National Payment System.’ This support measure will stay in place until 1 July 2023.
The second measure involves the non-application of enforcement measures against credit institutions that fail to offer mobile applications to their clients in order to enable money transfers via the Faster Payments System as long as they offer other remote banking systems to fulfil these purposes. This support measure will expire on 1 April 2023.
However, the bank will not extend its support when it comes to the non-recognition by the regulator of a payment system as important in the case of its compliance with the established criteria of importance. According to ibsintelligence.com, this support measure has officially been terminated on 1 January 2023, as the bank believes payment system entities have had enough time to adapt to its requirements.
In December 2022, the Central Bank of Russia has decided to use cryptocurrencies for cross-border payments in trials with private companies.
Even though the central bank initially opposed the legalisation of decentralised cryptocurrencies, its stance has changed in the context of Western sanctions. At the same time, Russian government institutions have been working to expand the regulatory framework for digital financial assets in order to cover decentralised cryptocurrencies.
In September 2022, according to currency.com, Russia’s Deputy Minister of Finance, Moiseev, stated that the current geopolitical landscape has changed Russia’s stance on cryptocurrencies. He also revealed that both the ministry and the bank had agreed on the impossibility to perform without cross-border settlements in cryptocurrency.
Moreover, the central bank will reportedly begin testing a digital ruble sometime in April 2023. The exchange of the digital ruble for foreign currencies and the opening of digital wallets to non-residents are expected to materialise in 2024.
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