Andrei Kostin expressed that there are no significant possibilities for Visa and Mastercard to re-enter the Russian market.
Rewritten Article:
Hey there! Let's talk about the current scenario with Visa and Mastercard in the Russian market. It seems that a comeback isn't looking too hot, at least not anytime soon. Andrey Kostin, CEO of VTB, dropped a hint about the likelihood of their return being slim, especially given the sanctions situation that's still lingering[1][3].
Now, you might be wondering, what about the Chinese UnionPay? Well, discussions are happening, including with a few friendly nations, about possibly rekindling its operations in Russia[3]. This could be a potential game-changer, reducing the need for international heavyweights like Visa and Mastercard.
Back in the day, Visa and Mastercard were a significant part of Russia's financial scene. But they bid adieu in 2022. Some folks, like Anatoly Aksakov, the chairman of the State Duma's Financial Markets Committee, had hoped for a swift return[3]. He believed that while they might have lost a significant market, re-entry would be tough, given that folks have grown accustomed to homegrown systems and the local National Payment Card System has proven its technological prowess[5].
As for the latest updates, Dmitry Dubynin, the general director of NSPK, admitted he has no insider scoop on Visa and Mastercard's plans[5]. Elvira Nabiullina, the Central Bank Chair, considers discussing the matter premature, as the payment systems haven't approached the regulator yet[5].
For those eager for more updates, following our Telegram channel @expert_mag is a smart move!
- #VTB
- #Visa
- #Mastercard
And oh, just a heads-up, cash is still king in Russia for daily transactions, as all mandatory transactions are in rubles, necessitating foreigners to exchange currencies[2]. UnionPay is in the talks, but nothing's set in stone just yet[3]. Mir cards, while popular domestically, face limitations abroad, just like Samsung Pay[5]. Russian-issued Visa and Mastercard cards, however, continue to function within the country[3]. Overall, the expanded use of local solutions and continuing geopolitical tensions seem to be steering us away from a near-term return of Visa and Mastercard.
- Andrey Kostin, CEO of VTB, suggested that Visa and Mastercard's comeback in the Russian market might be unlikely given the current sanctions situation.
- Discussions are ongoing about the potential return of UnionPay to Russia, which could significantly reduce the need for Visa and Mastercard.
- In 2022, Visa and Mastercard departed the Russian market, leaving a significant gap filled by local solutions such as the National Payment Card System.
- Dmitry Dubynin, general director of NSPK, has no knowledge of Visa and Mastercard's future plans regarding re-entry into the Russian market.
