Prospects of the Russian ruble’s internationalization in the context of sanctions restrictions

Abstract

The article analyzes the opportunities and prospects of the Russian Ruble’s internationalization in the context of sanctions restrictions. Based on a comprehensive analysis of the stages and factors of currency internationalization, it is concluded that Russia does not possess the overwhelming majority of fundamental factors for the internationalization of its national currency on a global scale. Nevertheless, there are prerequisites for strengthening the Russian ruble as a regional currency. It is found that the ruble can make a significant contribution to the expansion of the volume of settlements in national currencies under trade contracts. The directions of development of infrastructure independent of Western fi nancial centers, capable of increasing the share of settlements in national currencies, are considered. The prospects of creating a common unit of payment in the EAEU space are assessed. A model of the two-contour monetary and fi nancial system of the EAEU is proposed, its institutional framework is defined and formulated. A scheme of foreign trade settlements between counterparties from two diff erent countries is designed within the framework of this model. It is stated that the mutual off set of payments can signifi cantly reduce the needs of countries in real currency of unfriendly countries when carrying out trade exchange. As a result, the pressure on their balance of payments can be eased. Thus, the implementation of the proposed model will preserve national currencies as the main attribute of state fi nancial sovereignty and increase their stability. It can serve as an eff ective means of equalizing the relative level of regional productivity by dividing cash flows. The article concludes that in case of establishment of two-contour monetary and financial system within the framework of the EAEU, Russia will have an opportunity to become its center and increase its geoeconomic and geopolitical potential.