Sber and NSPK partner to launch facial payment system in Russia

Russian-based bank Sber and the National Card Payment System (NSPK), which operates the Mir card payment system, will collaborate to establish standards and achieve interoperability.

Facial recognition for 50% of bank terminals in Russia

Russia is preparing to test the feasibility of biometric payments on a large scale. This initiative aims to establish a national biometric standard to allow Russian banks to participate in this network and issue terminals that utilise facial payment systems. This rollout has the support of the Central Bank of Russia, which noticed a shift toward using biometric technologies.

While the two banks already have a facial payment system, onboarding users is a challenge. Customers can only register their biometric data through the two banking apps and payment interoperability is lacking.

This leads to Sber customers not being able to pay at Sber terminals and NSPK users not being able to utilise the Sber payment network.

After the launch, the system should be interoperable. This means that customers from all banks will be able to pay at any facial terminal after registering their biometric data using any banking app.

Sber is projected to deploy this technology in two million terminals, allowing users to pay or transfer money with a facial scan. It is expected that at least 50% of all banking terminals in the country will integrate this kind of biometric payment.

Adopting this technology will also enable new use cases, like confirming the age of customers when purchasing certain goods with associated age restrictions or automated check-ins in hotels.

Other moves from Russia

In June 2024, the country planned to initiate its first cross-border payments using the digital ruble in the second half of 2025. These transactions might involve China, as it advanced with its digital yuan, and Belarus, the country that’s is considered a partner due to its friendly relations with Russia.

The first phase of digital ruble pilots began in August 2023, with VTB as the first Russian bank to conduct transactions. In 2024, 30 companies in 11 cities accepted the digital ruble through VTB.

The second phase will involve more participants and retail outlets, introduce QR codes, and facilitate transfers between companies and other legal entities.