Currently, the financial market of Russia has not developed the conditions for a complete rejection of foreign exchange control by regulatory authorities. This method of blocking the domestic market should protect the Russian Federation from the undue pressure that has arisen after the introduction of international sanctions, opens The words of Elvira Nabiullina TASS, the head of the Central Bank (CBRT).
At the beginning of March 2022, the leadership of the Central Bank limited the circulation of cash in the domestic market of Russia. The currency regulator banned the receipt of cash by individuals and limited its issuance from existing deposits to $10,000. This measure was initially in effect from March 9 to September 9, 2022. However, in the future, the Central Bank extended the terms of the restrictions twice, the last time until September 9, 2023. In addition, until September 30 (inclusive), there is a restriction on the transfer of funds to foreign banks for individuals in the internal market of the Russian Federation.
“Money control should both protect against sanction pressure and interfere as little as possible with foreign economic activities. “We strive for such a balance,” said Nabiullina.
According to him, sanctions make cross-border payments difficult as part of foreign economic transactions. However, this problem is currently being resolved, among other things, thanks to exchange rate control in the Russian Federation domestic market.
April 11 Central Bank (CBRT) analysts sent Review of the Russian financial sector, as the need for dollars and euros will continue in Russia despite the current currency restrictions. It will not be possible to completely abandon the use of US dollars and euros in the Russian Federation without transferring import contracts to payments in rubles and other national currencies.