In 2024, Russian authorities plan to test the digital ruble in specific areas of budgetary spending, according to Anatoly Aksakov, head of the State Duma’s Financial Market Committee, in an interview with Rossiyskaya Gazeta.
He stated that the new asset will be used for social payments to citizens and state purchases. This could include funding for infrastructure projects, such as road construction.
“In this regard, I proposed to the Ministry of Finance to conduct such an experiment in Chuvashia, financing projects based on smart contracts. This will allow for more efficient use of budgetary funds, as payments between the customer and contractor will only be made after the work is completed,” Aksakov explained.
Additional amendments to the Budget Code will be required to regulate such processes.
Aksakov also mentioned the potential for digital ruble transactions with foreign countries, primarily Belarus, China, and India.
“The use of CBDC in cross-border transactions offers the possibility to mitigate the negative effects of Western sanctions, particularly by avoiding payment blockages and even concealing transaction details,” the official noted.
He suggested that the first payments between Russia and China could occur as early as next year.
The law on the national cryptocurrency came into effect on August 1, 2023. Russian citizens will be able to widely use the new payment method between 2025 and 2027.
In December, the State Duma passed a law providing for the integration of the digital ruble into the tax regulation and control system.
