Lead
Bank of Russia Governor Elvira Nabiullina told a briefing at the Financial Congress of the Bank of Russia that banks and large retail businesses are prepared for the widespread adoption of the digital ruble. "Everything is ready for the wide use of the digital ruble," she said, as reported by TASS. The central bank is also exploring new options for digital ruble wallets and the use of smart contracts for business, Nabiullina added.
In a separate development, the Bank of Russia's summary of discussions on the key interest rate, as reported by TASS, indicated that demand for cash has increased noticeably in recent months, and that a higher key rate path over the medium term cannot be ruled out.
Coverage Comparison
All reporting on these statements comes from TASS — English. The agency covered Nabiullina's remarks at the Financial Congress in St. Petersburg on July 2, and also published a summary of the central bank's key-rate discussions from July 1.
Nabiullina's comments on the digital ruble were reported consistently across two TASS articles. One article quoted her as saying that banks and large retail businesses are "ready for the widespread use of the digital ruble." Another article elaborated, quoting her: "Everything is ready for the wide use of the digital ruble... Our systemic banks and major trading business are to be engaged for receiving. Everything is ready in terms of processes; we have conducted a huge preparatory effort for this stage."
The central bank chief also addressed the Russian financial market's prolonged decline. According to TASS, she said the Central Bank does not see any problems requiring emergency intervention. "Indeed, the market is currently experiencing difficulties, we see this, and there are many factors influencing this, including the geopolitical situation and internal problems, and expectations regarding the key rate, which we have discussed, also affect this situation," she said.
On the matter of Euroclear, Nabiullina stated that the Bank of Russia is ready to use all mechanisms and opportunities to defend its legitimate interests. The statement was included in a list of main points from her briefing.
The key rate summary, published on July 1, presented the central bank's assessment of the economic situation. It noted that oil prices may remain elevated in the near term, and that the strong ruble will continue to have a disinflationary effect. The summary stated that "stabilizing inflation at the target over the medium term may require a higher key interest rate path than projected in the April forecast."
Key Claims
- Banks and large retail businesses are ready for the widespread use of the digital ruble, according to Nabiullina, as reported by TASS.
- The Bank of Russia is discussing an option of digital ruble wallets opening at banks' balances, Nabiullina said, according to TASS.
- The Bank of Russia is exploring the idea of using smart contracts for business, she added.
- The Central Bank does not see any problems requiring emergency intervention due to the prolonged decline in the Russian financial market, as reported by TASS.
- The Bank of Russia is ready to use all mechanisms and opportunities to defend its legitimate interests in the matter with Euroclear, according to Nabiullina.
- Inflation expectations for June have not yet shown a reaction to changes in fuel prices, as stated by Nabiullina.
- Demand for cash has increased noticeably in recent months, according to the Bank of Russia's key rate summary, as reported by TASS. The summary attributed the increase primarily to mobile internet outages and the response to tax changes, noting it remained within historical range.
- The central bank did not rule out a higher path for the key interest rate over the medium term.
- Oil prices may remain elevated in the near term and decline gradually, according to the summary.
- The strong ruble will continue to have a disinflationary effect, supported by cyclical and structural factors, according to the central bank.