Negative rates in foreign currency deposits in the Russian Federation

Central Bank of Russia got an offer to introduce negative rates on foreign currency deposits from Russian banks. The Russian financial market is affected by global trends, and a several countries have already moved into negative rates on foreign currency deposits. Negative rates are used in the Eurozone, Denmark, Switzerland, Sweden, Japan.

In recent months a number of the largest banks stopped taking euro into deposits. And some of them have already taken bank charges for opening accounts in foreign currencies. The setting of negative rates as well as zero rates is forbidden under the current legislation of Russia.

Legal initiative was supported by Financial Ministry of Russia.

The initiative still was not introduced in The State Duma, but discussions are already taking place.

Source: https://rg.ru/2019/09/29/chto-zhdet-vkladchikov-esli-vvedut-otricatelnye-stavki-po-valiutnym-depozitam.html