As a result of recent hearings in the Russian parliament, members of parliament have suggested significant amendments to the regulations that regulate the digital ruble initiative in the nation.
The activities of the debt, the services provided to non-residents, and the role of the central bank are the critical areas of attention in the proposed modifications, which are intended to modify the Constitution as it was originally written.
The Committee on the Financial Market of the State Duma has created a set of proposals to prepare for the second reading of the digital ruble legislation.
According to a story published by the state-owned news site Interfax on May 22, these plans purportedly include several substantial alterations.
The proposed changes include making it illegal for the Bank of Russia, which is the nation’s central bank, to participate in financing private companies. Instead, the body in charge of monetary policy would have exclusive responsibility over the digital ruble network.
In addition, the Federal Reserve would be responsible for protecting the personal information of Federal Security Service agents if the proposed modifications are implemented.
Additionally, the amended draughts suggest making it more straightforward for non-residents to utilize banks located in other countries to get access to the platform for the central bank digital currency (CBDC). In this hypothetical situation, non-locals would not be barred from using the platform, and participation from banks outside the region would be encouraged.
Because the legislation is now written in its current form, enforcement officials are permitted to seize any amount of digital rubles from the accounts of debtors without being subject to any limits.
However, the legal department of the State Duma has already spoken out against this provision, citing national law that forbids withdrawals above the minimum income level, which is around $195 per month.
The CBDC pilot program was expected to get underway in April if Bill 270838-8, which had its first reading in March, were to be signed into law then. On the other hand, the deadline has been pushed back due to ongoing debates and discussions over the proposal. According to Interfax, the legislation will be moved on to committee before July comes to a close.
Meanwhile, Russia’s neighbor and close ally Belarus has built a prototype for its CBDC. The chairman of the Belarusian Central Bank has said that a decision on introducing a digital Belarusian ruble would be made before the end of the current calendar year.
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