Russian Chamber of Commerce Suggests Using Cryptocurrencies in Settlements With Africa – Bitcoin News

Russian Chamber Of Commerce has proposed using crypto for cross-border payments. This is part of their lobbying to increase cooperation with African countries. Amid unprecedented sanctions limiting Russia’s ability to trade internationally, the head of the board has urged the government to work out an alternative system for settlements with Moscow’s partners.

Chamber of Commerce Proposes Improving Russia’s Trade With African Nations

Sergey Katyrin (President of the Chamber of Commerce and Industry of Russia) has made a number of recommendations to increase economic relations with African countries. The Russian head of trade calls for alternate payment options. Tass quotes Katyrin as saying:

It is appropriate for the Ministry of Finance to be instructed, along with the central banking, to make sure that intergovernmental agreements are concluded with African states regarding the use of national currency and crypto currencies in mutual settlements or payments.

He is requesting that the federal government create an export-import bank as well as a trust fund to support small- and medium-sized African businesses. The Minister of Industry and Trade and Ministry of Economic Development should also establish free trade zones and trade missions in African countries where there is the most potential for expanding ties.

Katyrin has asked the departments to create a new mechanism for internal and external payments. This system could be used to settle for concessions of natural resources, investments projects, or other payments. A Russia-Africa Trading House could also be suggested.

The head of the chamber emphasizes that the development of this kind of cooperation with “friendly areas” is of paramount importance for the Russian Federation. His proposals come as mounting western sections imposed over the war in Ukraine continue to limit Moscow’s access to global finances and its currency reserves in foreign banks.

Russian officials believe that the use of crypto assets will allow the country to enter global markets again and replace the U.S. Dollar and the Euro with national or digital currencies. Although the Bank of Russia remains skeptical of cryptocurrencies being used to bypass sanctions, the Finance Ministry leads efforts to legalize them. It claims that these penalties are motivating Russia to build its crypto market infrastructure.

What do you think Russia’s plans are for cryptocurrencies? Comment below to share your hopes and fears.

Lubomir Tatsev

Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.