Experts note that the cash reserves stored in the safes and ATMs of Russian banks surpassed the two trillion rubles mark in July, a milestone reported by the Central Bank. The rise reached 180.9 billion rubles, equal to 9.6 percent for the month. This marks the largest expansion since September 2022, when cash levels grew by nearly 202 billion rubles. The Central Bank of Russia provides the statistical backing for these figures.
Analysts link the cash residue growth to several influences. First, there is a ruble revaluation driven by the currency depreciation. Second, there is increasing demand to exchange cash for rubles in order to secure a more favorable exchange rate.
A persistent upward trend in cash demand is also visible. People fear financial instability and withdraw funds from their bank accounts. For credit institutions, this trend translates into a challenge because such cash reserves do not generate interest income for the banks involved.
As demand remains high, some banks have introduced higher commissions and tighter limits on cash transactions. Experts do not dismiss the likelihood that overall cash in the banking system will keep rising, even in the face of the ruble devaluation and a higher central rate set in August.
Mid August data show a fivefold year over year growth in payments processed through the SBP system. The pattern suggests shifts in consumer behavior and increased reliance on certain payment channels during the period in question.
Public concerns about the implementation of additional lending services continue to be voiced by Russians, continuing a trend noted by the central banking authorities. The evolving landscape of cash handling and lending services remains a focal point for financial observers and policymakers alike.