Bank of Russia calls for Visa and Mastercard to exit Russian market as share falls below 17%

Lead

The Bank of Russia has signaled that Visa and Mastercard cards should exit the Russian market, arguing that the international payment systems no longer provide the functionality they once did. Alla Bakina, Director of the Bank of Russia's National Payment System Department, made the remarks in statements reported by the state news agency TASS on May 25.

According to TASS, Bakina said the share of Visa and Mastercard cards in Russia has declined to below 17% over the past four to five years, as banks progressively replace them with domestic alternatives, including Mir cards.

Coverage comparison

All reporting on this story originates from TASS, the Russian state news agency, which published multiple articles covering Bakina's statements and expert commentary. The accounts are consistent in their core facts: the Bank of Russia's position that Visa and Mastercard should leave, the current market share of these cards, and the gradual substitution by Mir. One TASS report includes additional expert opinions suggesting the transition will be orderly and that using expired cards is unsafe.

Key claims

Visa and Mastercard should leave the Russian market. Bakina is quoted as saying, "With regard to international payment system cards, our position is that, of course, these cards should leave our market because they no longer carry out or provide the functionality they always ensured." This position is reported across multiple TASS articles.

The share of Visa and Mastercard cards is below 17%. Bakina reportedly stated that the share of these cards has declined over the past four to five years and now stands at "less than 17%." This figure appears in all three TASS reports.

The National Payment Card System bears costs. Bakina is quoted as saying that the National Payment Card System "continues to bear the costs of supporting these cards," a claim that appears in at least one TASS article. The agency does not provide further details on the nature or scale of these costs.

Gradual substitution by Mir cards. Bakina stated that banks are performing a gradual substitution of Visa and Mastercard with other instruments, including Mir cards, and that the National Payment Card System is using "economic incentive measures" to encourage the withdrawal of international cards. This is reported in all three TASS articles.

Cashless payments remain high. Bakina reportedly said that Russia's payment market remains resilient and that the share of cashless payments is at a "consistently high level." This claim appears in a single TASS report.

Perspectives

Bank of Russia / Official position: The central bank's stance, as conveyed by Bakina, is that Visa and Mastercard cards are obsolete in the Russian market because they no longer deliver the services they once provided, and their continued presence imposes costs on the National Payment Card System. The bank views their eventual exit as a natural consequence of market evolution.

Expert commentary: Experts quoted by TASS expect the withdrawal to be gradual and orderly, with users smoothly transitioning to Mir cards. One expert, identified as a macroeconomist at the Stolypin Institute for Growth Economics, said that many Visa and Mastercard cards continue operating beyond their expiration dates, making their use unsafe, and therefore a systematic transition to Mir is justified.

Independent verification: All information in this article comes from TASS, a Russian state news agency. No independent, non-Russian sources have confirmed the details of Bakina's statements or the statistics cited. The figures and positions should be viewed in this light.