Sergei Belov, the deputy governor of the Central Bank of Russia, indicated that the regulator could authorize cash storage by commercial banks to bolster the cash circulation system (CMC). The information comes from a publication referenced as News, highlighting an emerging policy direction in the Russian monetary framework.
Belov explained that this approach has gained strong popularity among financial institutions. Banks see tangible savings in transportation costs and in expenses tied to depositing and receiving cash at the Bank of Russia. Beyond those savings, the key advantage lies in enhanced liquidity management. By depositing funds into correspondent accounts rather than physically delivering cash to bank branches, institutions can respond more swiftly to changing liquidity needs and market conditions, which can help stabilize short‑term funding and reduce operational friction across the banking network. The deputy governor emphasized how this flexibility supports banks in managing day‑to‑day cash flows with greater agility, aligning with broader efforts to modernize the domestic payment infrastructure and improve overall financial efficiency within the system.
Belov also revisited plans discussed earlier about updating banknotes. In October, the regulator announced the introduction of new 1,000‑ and 5,000‑ruble notes as part of a modernization program. The intention is to refresh the currency’s design and security features while preserving the current color palette to maintain recognizability for the public and for businesses. The Central Bank outlined a phased modernization schedule targeting five denominations in total, specifically 5,000, 1,000, 500, 50, and 10 rubles, with completion projected by the end of 2025. The 100‑ruble note has already undergone modernization, yet officials note that newly issued notes remain relatively rare in circulation as the rollout continues at a measured pace to ensure a smooth transition for the population and the banking sector alike.
There has also been public discussion at the Central Bank about whether future currency changes might shift away from paper banknotes toward coins for lower denominations, including 5 and 10 ruble coins. While no final decision has been confirmed, the topic remains part of ongoing considerations about currency efficiency, production costs, and public acceptance. The Bank stresses that any potential move would be accompanied by careful planning to minimize disruption to users and to the financial system, while preserving the integrity and reliability of cash in everyday life.