The key facts

  • Putin proposed that Africa connect to a sovereign cross-border payment system with digital currencies
  • Siluanov: payments via the company A7, a 0.3% fee
  • Oreshkin: five years ago Russia used the dollar and the euro; now payments go through without the Western financial system

The proposal at the summit in Moscow

Russian President Vladimir Putin, during a tour of an exhibition of advanced Russian solutions to which he invited leaders of African states, proposed that African countries connect to a cross-border payment system using digital currencies. This was reported by Gazeta.Ru citing RIA Novosti. According to Putin, the system is sovereign, and such settlements are 'impossible to block from the standpoint of modern technologies.' 'The system is high-tech and convenient for clients, because they instantly transfer online from one currency to others, into digital currencies, and back. Everything is absolutely transparent, in full compliance with international law,' the outlet quotes him as saying.

Details from the finance minister and the presidential aide

Finance Minister Anton Siluanov , who was present at the exhibition, said that cross-border payments with Africa are handled by the Russian company A7. 'Payments are fast, in one click, and the cost is only 0.3% — that is extremely low for transactions,' he noted. Deputy head of the presidential administration Maxim Oreshkin added that just five years ago Russia used the dollar and the euro in foreign trade, while now domestic banks and partner banks in other countries use digital technologies to make payments around the world without using the Western financial system.

Context of the summit

At the summit's plenary session, Putin also stated that Western countries are trying to 'drive Africans back into debt bondage' and impose financial resources on them 'on predatory terms.' The third summit and the economic and humanitarian forum 'Russia — Africa' are taking place in Moscow on October 28–29; earlier, Putin called Africa 'the continent of the future'. The statements about connecting African countries to the payment system remain an invitation and a proposal: the sources do not report any decisions adopted by the African side or agreements signed on this matter.