Russian President Vladimir Putin has called for a national payment system, according a report of an address he delivered Thursday to the Russian parliament.
Putin's address follows moves by MasterCard and Visa to cut off Russian banks in the wake of that countries annexation of Crimea, which had been part of Ukraine.
"For Visa and MasterCard it would be a setback in a region that has
The Russian president pointed to the success of national payment systems in Japan and China and asked members of Parliament, "Why do we not do this? This definitely should be done and we will do this," according to a
One of these systems is China UnionPay, that nation's largest payment network with more than 3.5 billion cards in circulation. UnionPay has branched out to other countries through
Japan's national payment system now operates in 200 countries, Putin told the Russian Parliament. U.S. card networks are active in Japan and China, with a focus on
The U.S. and other western countries
Visa and MasterCard recently stopped processing payments for Bank Rossiya, and three other banks either tied to Rossiya or to the businesspeople on the sanctions list. Visa and MasterCard later restored some payment processing to two banks, but is still not processing payments for Rossiya and Sobinbank, which is owned by Rossiya. Cardholders with accounts at these banks can't make payments, but can withdraw cash from ATMs.