The Russian Chamber of Commerce has proposed using crypto in cross-border payments as part of its lobbying for more cooperation with African countries. Amid unprecedented sanctions limiting Russia’s ability to trade internationally, the head of the board has urged the government to consider working on an alternative system for settlements with Moscow’s partners.
In a letter by Sergey Katyrin, the President of the Chamber of Commerce and Industry of Russia to Russian Prime Minister Mikhail Mishustin, a plan to strengthen economic relations with African nations is suggested. He advocates alternative payment options, among other things. Katyrin insists:
It seems appropriate to instruct the Ministry of Finance, together with the central bank, to ensure the conclusion of intergovernmental agreements with African states on the use of national currencies and cryptocurrencies in mutual settlements and payments.
A government official is calling for the establishment of a new export-import bank and a trust fund to fund small and medium-sized firms’ exports to Africa. In addition, he wants the Ministry of Industry and Trade and the Ministry of Economic Development to establish trade missions and free trade zones in the African countries with the greatest potential to expand relations.
Katyrin is urging the two departments to come up with a mechanism for settling both external and internal payments, including cryptocurrencies. The system can be implemented in settlements for concessions for natural resources, investment projects, export operations, and other payments. He also suggests the establishment of a Russia-Africa Trading House.
The chamber’s head emphasizes the importance of developing this type of cooperation with “friendly” areas for the Russian Federation.The chamber’s head emphasizes the importance of developing this type of cooperation with “friendly areas” for the Russian Federation. The proposals stem from mounting western sanctions imposed over the war in Ukraine, which continue to limit Moscow’s access to global finances and its currency reserves in foreign banks.
Russia’s officials are convinced that crypto assets can help the country return to global markets and replace the US dollar and the euro with other national and digital currencies. In contrast to the Bank of Russia, the Finance Ministry is leading efforts to legalize cryptocurrencies and has stated the penalties encourage Russia to create its own crypto market infrastructure.In contrast to the Bank of Russia, the Finance Ministry is leading efforts to legalize cryptocurrencies and has stated the penalties encourage Russia to create its own crypto market infrastructure.