Russia urges return to wholesale digital ruble model, more inside
The proposal was initially considered in a consultation report in October 2020 (Model A). It was abandoned in April 2021 in favor of a retail model. The deputies argue that the return to a wholesale digital ruble experiment is crucial.
The recommendation to reintroduce the wholesale digital ruble experiment is part of the State Duma committee’s suggestions on the Central Bank’s report regarding a unified monetary policy for 2024-2026.
Model A suggested for flexibility and adaptability
The deputies argue that a timely turn to a wholesale digital currency model would position Russia favorably. This is as long as such projects globally remain in the experimental phase.
This analysis should cover cross-border payments and potential plans for piloting such models. There should also be an assessment of the potential impact on monetary policy transmission mechanisms, financial stability, and price stability.
The European Central Bank and the Bank of Japan already collaborated on cross-border payments in wholesale central bank digital currencies in 2017.
