The Russian payment cards market has transformed over the past decade to enjoy increased consumer penetration and merchant acceptance.
As Russians increase their usage of bank cards and mobile payments, cash is starting to decline in the face of a fast-evolving payments ecosystem. The authorities are encouraging developments in mobile payments and are actively exploring innovations, including a digital currency. In January 2019, the central bank introduced the Faster Payments System, which will include QR-based functionality from 2021. Mir Pay, a mobile payment solution for the domestic scheme, was also launched in 2019, a year in which more than a fifth of Russia's Visa payments took place via mobile device.
Digital payments have grown rapidly over the period under review. According to Sberbank, over half of Russians made cashless transactions in 2019, a five percent increase on 2018. The exodus from cash is not limited to the major cities: in all, 36 regions reached the 50 percent cashless mark. In the case of Murmansk, a region in the northwest of the country, over 60 percent of transactions were cashless that year.
The central bank is one of the most active in the world when it comes to digital innovation, having launched a series of infrastructural projects including fast payments, biometrics systems, a regulatory sandbox, fintech association and distributed-ledger platform.
The latest East European region report from Verisk Financial looks in detail at the Russian cards and payments landscape, with clear-sighted commentary supported by historic and forecast data.
What you will learn from this report:
Each Verisk Financial Research report takes a consistent approach, providing concise commentary and deep data on the latest market trends and regulatory developments, with insights and profiles covering the key market players including banks, issuers, networks, acquirers and processors.