Going cashless in Russia is cooler than ever!
Reduction in cash withdrawal from bank cards observed
It looks like Russians are finding fewer reasons to hit up the ATM these days. According to a recent report by "Kommersant", the number of cash withdrawals in Q1 2025 hit an all-time low in the past 14 years, with a staggering 394 million operations - even beating out the previous low set in 2009!
But that's not all - the total amount of cash withdrawn was also at a record low, amounting to 7.6 trillion rubles. Interestingly, less cash was withdrawn only in Q1 2023.
Confused? Here's the secret sauce: while the number of bank card operations has been on a downward trend for the past two quarters, they still remain the preferred payment method.
So, what's been causing this cash exodus from ATMs?
Well, as the world moves toward a more digital future, the Russian banking sector is no exception. Consumers are gradually embracing digital wallets, contactless payments, and self-service technologies. It's all about convenience, security, and reducing reliance on physical cash.
This shift away from cash withdrawals is a testament to the growing trend towards cashless economies. Banks are jumping on board, too, by promoting digital transaction platforms and mobile banking apps that make non-cash transactions a breeze.
In essence, the record-breaking decline in ATM cash withdrawals in Q1 2025 is yet another example of tech-driven changes in consumer payment habits. So, leave that wallet at home and embrace the future!
I'm not sure if the trend of going cashless in Russia is influenced by the finance, business, politics, or general-news sectors, but the drastic decrease in cash withdrawals, as seen in the Q1 2025 report by "Kommersant," is a significant shift towards digital payment methods. Banks are encouraging this change by offering digital transaction platforms and mobile banking apps, furthering the convenience and security of non-cash transactions.
