Internationalization of Ruble: Myths and Economic Policy

DOI: 10.20542/0131-2227-2018-62-12-26-34

O. Buklemishev (,
Moscow State University, 1, bldg. 46, Leninskie Gory, Moscow, 119991, Russian Federation;
Yu. Danilov (,
Russian Presidential Academy of National Economy and Public Administration (RANEPA), 82, bldg. 1, Prosp. Vernadskogo, Moscow 119571, Russian Federation;
Moscow State University, 1, build. 46, Leninskie Gory, Moscow, 119991, Russian Federation 

Abstract. Internationalization of Ruble has lately become an issue of intense professional debate, partly due to the progress of integration process within the Eurasian Economic Union and corresponding advance of the Ruble’s role supported by the monetary policy of the Central Bank of Russia. Along the lines of these discussions, the article poses three major questions: (1) does current international role of the Ruble correspond to the fundamental characteristics of the currency and the national economy? (2) is there any room to strengthen this role and how big a potential benefit might be? (3) should economic policy directly target the Ruble’s internationalization? The answer to the first question is broadly “yes”: while “factors of size” favor an increase of the Ruble’s role, several structural factors (mainly the level of development and liquidity of the national capital market) restrict its potential as a store of value. Secondly, the role of Russian national currency could be reinforced. However, on the one hand, it requires non-trivial reforms to improve the structural characteristics of the national economy; on the other hand, benefit is not that large as potential Ruble’s progress is limited due to intense currency competition and the advantages of the leading reserve currencies. Finally, economic policy should be mainly targeted not at internationalization of the Ruble itself but at improvement of fundamentals which would make these gains possible. Corresponding reforms would involve, primarily, more intense and diverse integration within the Eurasian Union as well as expansion and qualitative development of the national financial market. 

Keywords: Russia, Ruble, internationalization, reserve currencies, Eurasian Economic Union, economic policy, financial market, store of value, currency integration 


1. Financial architecture of the post-crisis world: the effectiveness of solutions. Moscow, Post-Crisis World Institute, 2009, 112 p. (In Russ.)

2. Katasonov V. Bor’ba za rubl’. Natsional’naya valyuta i suverenitet Rossii [The struggle for the ruble. The national currency and sovereignty of Russia]. Moskva, Knizhnyi mir, 2015. 287 p.

3. Gavrilov N., Prilepskii I. Rubl’ kak valyuta mezhdunarodnykh raschetov: problemy i perspektivy [Ruble as the currency of international payments: problems and prospects]. Voprosy ekonomiki, 2017, no. 6, pp. 94-113.

4. Moiseev S. Rubl’ kak rezervnaya valyuta [Ruble as reserve currency]. Voprosy ekonomiki, 2008, no. 9, pp. 4-21.

5. Internationalization of the ruble: prospects and risks, as well as the role of the Russian ruble in foreign economic relations. Bank of Russia. Policy brief, July 2017. (In Russ.)

6. Danilov Yu., Buklemishev O., Sednev V., Korshunov D. Natsional’nye valyuty vo vzaimoraschetakh v ramkakh EAES: prepyatstviya i perspektivy [National currencies in mutual payments within the EAEU: barriers and prospects]. Sankt-Peterburg, TsII EABR, 2018. 76 .

7. Hayek F. Denationalization of Money. London, Institute of Economic Affairs, 1976. 144 p.

8. Kokenyne A., Ley J., Veyrune R. Dedollarization. IMF Working Paper WP/10/188, 2009.

9. Triffin R. National Central Banking and the International Economy. Postwar Economic Studies, 1947, no. 7, pp. 46-81.

10. Reinhart C., Rogoff K. This Time is Different: Eight Centuries of Financial Folly. Princeton, Princeton University Press, 2009. 463 p.

11. Buttiglione L., Lane Ph.R., Reichlin L., Reinhart V. Deleveraging. What Deleveraging? Geneva, International Center for Monetary and Banking Studies. 2013. Available at: (accessed 12.05.2018).

12. Eichengreen B. Global’nye disbalansy i uroki Bretton-Vudsa [Global imbalances and lessons of Bretton-Woods]. Moscow, Izdatel’stvo Instituta Gaidara, 2017. 200 p.

13. Rogoff K. Proklyatie nalichnosti [The Curse of Cash]. Moscow, Izdatel’stvo Instituta Gaidara, 2018. 472 p.

14. Kenen P. Currency Internationalization: An Overview. BIS Papers, 2009, no. 61, pp. 9-18.

15. Frankel J. Internationalization of the RMB and Historical Precedents. Journal of Economic Integration, 2012, no. 27 (3), pp. 329-365.

16. Currency Internationalisation: Lessons from the Global Financial Crisis and Prospects for the Future in Asia and the Pacific. BIS Papers, December 2011. 247 p.

17. Lee II.H., Park Y. C. Use of National Currencies for Trade Settlement in East Asia: A Proposal. ADBI Working Paper Series, 2014, no. 474. Available at: (accessed 12.05.2018).

18. China Securities Regulatory Commission. 2014 Annual Report. Available at: annual/201506/P020150612564204379767.pdf (accessed 12.05.2018).

19. Danilov Yu. Opyt reform finansovykh rynkov v stranakh – konkurentakh Rossii na global’nom rynke kapitala [Experience in reforming financial markets in Russia’s competitors in the global capital market]. Moskva, Izdatel’stvo In-ta Gaidara, 2016. 164 p.

20. Mikheev V., Lukonin S. Kitai: novye trendy razvitiya na rubezhe 2015–2016 gg. [China: new development trends at the turn of 2015–2016]. Mirovaya ekonomika i mezhdunarodnye otnosheniya, 2016, vol. 60, no. 6, pp. 24-34. DOI:10.20542/0131-2227-2016-60-6-24-34

21. Eichengreen B., Mehl A., Chiţu L. Mars or Mercury? The Geopolitics of International Currency Choice. NBER Working Paper 24145, December 2017. Available at: (accessed 12.05.2018).

22. Thimann C. Global Roles of Currencies. ECB Working Paper Series, 2009, no. 1031. Available at: (accessed 12.05.2018).

23. Alogoskoufis G. S., Portes R., Rey H. The Emergence of the Euro as an International Currency (October 1997). CEPR Discussion Paper Series, no. 1741. Available at: (accessed 12.05.2018).

24. Rey H. International Trade and Currency Exchange. Review of Economic Studies, 2001, no. 68, pp. 443-464.

25. RMB Tracker January 2018 (Special Report). Available at: (accessed 18.05.2018).

26. Statistics of the external Sector of the Eurasian Economic Union. Operational Data for 2016. Statistical Collection (In Russ.) Available at: (accessed 18.05.2018).

27. IMF Survey on the Holdings of Currencies in Official Foreign Currency Assets 2015. Available at: (accessed 18.05.2018).

28. IMF COFER. Available at: (accessed 18.05.2018).

29. Triennial Central Bank Survey. Global Foreign Exchange Market Turnover in 2016. BIS, 2016. Available at: (accessed 18.05.2018).

30. Buklemishev O., Danilov Yu. Ekonomicheskoe liderstvo i “liderskaya renta” [Economic leadership and “leader’s rent”]. Mirovaya ekonomika i mezhdunarodnye otnosheniya, 2015, vol. 59, no. 10, pp. 5-17.

31. World Trade Organization. World Trade Statistical Review, 2017. Available at: wts2017_e/wts2017_e.pdf (accessed 18.05.2018).

32. Danilov Yu. Otsenka mesta Rossiiskoi Federatsii na global’nom finansovom rynke [Estimation of the place of the Russian Federation in the global financial market]. Voprosy ekonomiki, 2016, no. 11, pp. 100-116.

33. Zharikov M. Problemy i perspektivy internatsionalizatsii yuanya [Problems and prospects for the internationalization of the Renminbi]. Mirovaya ekonomika i mezhdunarodnye otnosheniya, 2014, n. 7, pp. 36-44.

34. Kudryashova I. Kitaiskii yuan’ kak mirovaya valyuta: imperativy i real’nost’ [Chinese Yuan as a world currency: imperatives and realities]. Mirovaya ekonomika i mezhdunarodnye otnosheniya, 2017, vol. 61, no. 9, pp. 36-44. DOI:10.20542/0131-2227-2017-61-9-36-44

35. Rogoff K. America’s Endless Budget Battle. Available at: (accessed 10.03.2015).

36. Danilov Yu., Buklemishev O., Abramov A. O neobkhodimosti reformy finansovykh rynkov i nebankovskogo finansovogo sektora [Urgency of financial markets’ and non-banking financial sector reform]. Voprosy ekonomiki, 2017, no. 9, pp. 28-50.

37. Narkevich S., Trunin P. Rezervnye valyuty: factory stanovleniya i rol’ v mirovoi ekonomike [Reserve currencies: factors of formation and role in the world economy]. Moskva, Izdatel’stvo Instituta Gaidara, 2012. 136 p.

38. Golovnin M., Zakharov A., Ushkalova D. Ekonomicheskaya integratsiya: uroki dlya postsovetskogo prostranstva [Economic integration: lessons for the post-Soviet space]. Mirovaya ekonomika i mezhdunarodnye otnosheniya, 2016, no. 4, pp. 61-69. 

Registered in System SCIENCE INDEX

For citation:
Buklemishev O., Danilov Y. Internationalization of Ruble: Myths and Economic Policy. World Eonomy and International Relations, 2018, vol. 62, no. 12, pp. 26-34.

Comments (0)

No comments

Add comment






Dear authors! Please note that in the VAK List of peer-reviewed scientific journals, in which the main scientific results of dissertations for the degree of candidate and doctor of sciences should be published for the “MEMO Journal” the following specialties are recorded:
economic sciences:
5.2.5. World Economy.
5.2.1. Economic Theory
5.2.3. Regional and Branch Economics
political sciences:
5.5.4. International Relations
5.5.1. History and Theory of Politics
5.5.2. Political Institutions, Processes, Technologies


Current Issue
2024, vol. 68, No. 7
Topical Themes of the Issue:
  • The Supporting Structure of Global Security
  • Institutional Features of the Fourth Energy Transition
  • The Evolution of Modern German Christian Democracy
  • The Monarchies of the Persian Gulf and Central Asia
Submit an Article
The Editorial Board invites authors to write analytical articles on the following topics:
  • changes in the processes of globalization in modern conditions
  • formation of the new world order
  • shifts in civilization at the stage of transition to a digital society

The editors are also interested in publishing synthesis articles / scientific reviews revealing the main trends in the development of certain regions of the world - Latin America, Africa, South Asia, etc.