Cash in circulation across Russia grew 7.5 percent to 21.284 trillion rubles over the year to July 1, 2026, the Central Bank of Russia said.
The annual growth rate accelerated almost fourfold compared to the previous twelve months, when cash volume increased by 1.9 percent. The data was published in the central bank's quarterly review on cash monetary circulation for April to June 2026.
Physical banknotes accounted for nearly all of the cash total. Paper currency in circulation expanded from 17.845 trillion rubles on July 1, 2025, to 21.152 trillion rubles by July 1, 2026. Materials from the Central Bank show that the share of cash held outside the banking system grew from 14.0 percent to 14.7 percent of total money in circulation over the same period.
Six months of rapid growth
Statistics for July, which were not included in the main quarterly report, show that cash in circulation increased by an additional 643.4 billion rubles last month. The indicator last fell in January, when cash volume shrank by 386.2 billion rubles. Following that drop, total physical currency surged by more than two and a half trillion rubles over the subsequent six months.
The Central Bank explained that growing demand for physical money was driven by payment difficulties resulting from mobile internet disruptions, alongside businesses and individuals adapting to tax changes. As the country's monetary authority, the Central Bank of Russia regulates the national currency, manages foreign exchange reserves, and maintains financial stability.
Drivers of physical currency demand
Arkady Trachuk, general director of state banknote manufacturer Goznak, noted that public demand for paper currency fluctuates periodically. He said that demand depends on prevailing bank interest rates, immediate payment needs among members of the public, and the overall availability of payment instruments.
Goznak is Russia's state-owned enterprise responsible for printing physical banknotes, minting coins, and producing official security documents and passports. While electronic payments have expanded rapidly across Russian retail sectors in recent years, technical connectivity issues and mobile network outages have highlighted the continued importance of cash in daily commerce.
