Russia is gearing up to launch the digital ruble for cross-border payments in the second half of 2025, with plans to partner with China and Belarus for transactions. According to Anatoly Aksakov, the chairman of the Russian State Duma Financial Market Committee, the country is exploring possibilities of using central bank digital currencies (CBDC) for international transactions. This move comes after Russia successfully launched the first phase of its domestic digital ruble pilot in August 2023.

The digital ruble pilot has seen significant progress, with VTB being the first bank to conduct transactions. Currently, 30 companies across 11 cities in Russia accept the digital ruble through VTB. This includes Lukoil gas stations, where customers can pay for fuel and snacks using the digital currency. The successful domestic pilot has paved the way for Russia's plans to expand its digital currency for international transactions.

Russia's move to launch the digital ruble for cross-border payments is seen as a strategic move to strengthen its economy. The country has been facing financial sanctions since its invasion of Ukraine, and the digital ruble is seen as a way to circumvent these sanctions. By partnering with China and Belarus, Russia hopes to create an alternative payment system that is not dependent on the US dollar or other Western currencies.

The launch of the digital ruble for international transactions is also seen as a way to increase the efficiency of cross-border payments. Traditional payment systems can be slow and costly, and the digital ruble is seen as a way to reduce transaction times and costs. Russia's move is also expected to increase financial inclusion, as more people will have access to digital payments.

The launch of the digital ruble for international transactions is expected to have significant implications for the global economy. It could potentially create a new payment system that is not dependent on Western currencies, and could also increase financial inclusion in countries that have been excluded from traditional payment systems. As Russia prepares to launch the digital ruble, the world is watching with keen interest to see how this new payment system will shape the future of international transactions.