Digital Ruble Ready to Launch in 2024, Russian Minister of Finance: No One Can Misappropriate Money

JAKARTA - Russia is getting serious about developing its official digital currency, known as the digital ruble. The Russian government plans to launch the digital ruble ahead of schedule. Starting in 2024, it is claimed that all Russian citizens will be able to use the digital ruble.

For your information, the digital ruble is a central bank digital currency or CBDC issued by the Central Bank of Russia. It will be an alternative to cash and non-cash rubles. Digital rubles will have the same value as conventional rubles, and can be easily exchanged via digital wallets provided by the Central Bank.

Benefits of the Digital Ruble

According to Russian Minister of Finance, Anton Siluanov, the digital ruble will provide many benefits to Russian citizens. These benefits include ease of transactions, cost efficiency and transparency of use.

Siluanov said his ministry would try paying state coffers with digital rubles early next year. He also expects that by 2024, all Russian citizens will be able to use digital rubles.

"The digital ruble will allow us to know how money is used. If coins are distributed as child support payments, they will only be spent on child care and for no other purpose. There is no place for fraud and abuse here, which sometimes happens elsewhere," Siluanov said.

Apart from that, the digital ruble will also help the government in managing state finances. All transaction data will be stored at the Central Bank and there is no need to request information from other banks. This will bring greater transparency in the management of state finances.

Boost the Country's Economy

The digital ruble is also expected to increase the competitiveness of the Russian economy on the global stage. This is especially important amidst sanctions and restrictions imposed by Western countries. With the digital ruble, Russia can interact more easily in international trade, especially with countries that are also developing their own digital currencies, such as China.

The Russian Central Bank, which is responsible for the development and regulation of the digital ruble, has been testing the new technology for a year. The bank plans to start running tests of the digital ruble with real customers in April 2023. The Central Bank has also issued a draft law regulating the circulation rules of this digital currency. The draft could be submitted to parliament before the end of this year.

The digital ruble is one of the latest financial innovations carried out by Russia. This shows its commitment to leveraging digital technology to increase transparency in its financial system. The digital ruble seems ready to become the first digital currency launched by the country led by Vladimir Putin.