Translation. Region: Russian Federation –
Source: Mainfin Bank –
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Image: mainfin.ru
Why was there an increase in cash in circulation in 2025?
The increased demand for cash comes as no surprise to the industry. Russians are showing interest in this payment method for several reasons:
Internet problems – outages and disconnections are being reported amid air raid sirens, preventing card and app payments; the introduction of additional transaction controls – amid numerous stories of card and account blocking, Russians prefer cash; a reduction in the key rate – the yield on deposits and savings accounts is declining, making bank savings products less attractive to investors.
Another factor is seasonality, as the highest demand for cash was recorded in December of last year. In the lead-up to the holidays, citizens receive bonuses and additional payments, which they plan to spend. Furthermore, Russians are reluctant to keep their money in the bank during the long New Year holidays, when most branches are closed.
How did the outflow of funds from banks into cash take place?
In the first half of 2025, Russians preferred to keep their money in bank accounts, driven by favorable terms amid a high key interest rate. This trend reversed in June, as the regulator began easing monetary policy. The largest outflow of funds (836 billion rubles) was recorded in December. This is the highest level in 11 years; a higher figure (918 billion rubles) was recorded only in 2014.
"The temporary increase in cash in circulation does not pose any negative consequences for the economy, but overall, the trend increases risks for the banking industry," the regulator noted.
By the end of 2025, the total volume of cash in circulation was estimated to exceed 19.4 trillion rubles. Meanwhile, the share of cash payments in the Russian economy remains near its historical low: around 14% of total transactions. However, this situation may change in the future, and Russians will increasingly prefer cash payments.
16:00 01/27/2026
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