A prominent Russian lawmaker has suggested that the Central Bank Digital Currencies (CBDCs) of China and Russia could potentially be “compatible” and might facilitate international transactions between the two countries.
The statement came from Anatoly Aksakov, a representative from Chuvashia’s Kanash constituency in the State Duma, and the Chairman of the State Duma Committee on the Financial Markets, as reported by RBC.
During a forum focused on CBDCs, Aksakov expressed:
“We in the State Duma are sincerely optimistic that these international CBDCs will find significant use in foreign economic transactions. Thus, it would be possible to employ our digital ruble for international payments.”
Regarding China, the Member of Parliament suggested:
“Possibilities for system compatibility should be explored. For instance, the Chinese CBDC system and ours could be made interoperable to facilitate conversions between the two digital currencies.”
Aksakov proposed that these tokens could be “utilized in the economic activities of our countries [China and Russia].”
The MP further emphasized that it’s crucial to implement a new currency into the country gradually, a strategy previously adopted by Beijing.
Rather than designating a specific date for a nationwide launch, the Chinese government has steadily extended the CBDC pilot zone for its digital yuan.
Denis Polyakov, the Deputy Director of the Russian Central Bank’s National Payment System Department, has stated that the digital ruble will present domestic companies with the opportunity to cut costs, as the payment commission would amount to only around 0.3%.
In addition, Polyakov pointed out that ordinary citizens could use the CBDC to execute quick transfers free of commission.
Earlier this month, the Prosecutor-General of Russia visited Beijing and suggested to his Chinese counterpart that the two countries should collaborate on the regulation of CBDCs.
Although Beijing has not publicly responded to this proposition yet, it has been exploring the cross-border potential of the e-CNY, as the relationship between China and Russia continues to strengthen.
Russia’s CBDC Push: Chinese Inspiration?
Anatoly Aksakov, in addition to his other roles, is the principal designer of Russia’s cryptocurrency legislation.
Despite his efforts, the process of passing crypto laws has largely been stalled due to a deadlock between the crypto-cautious Central Bank Governor Elvira Nabiullina and government ministries that are pro-industry.
Nabiullina is known to be one of the closest allies of President Vladimir Putin.
Elvira Nabiullina has previously held positions as Putin’s economic advisor and as Russia’s Minister of Economic Development.
She has voiced support for implementing a crypto ban similar to that of China’s and expediting the launch of a digital ruble.
While analysts predict that the digital ruble could be completely launched by 2025, Nabiullina is aiming to commence a practical CBDC pilot by early August at the very latest.
