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The Central Bank of Russia has registered a new payment system called HELLO into the national register of credit solutions, reported ANI.

The development comes as Russia seeks to circumvent the growing number of sanctions announced by the US and its allies over its ongoing invasion of Ukraine.

Some of the country’s top lenders have been cut off from SWIFT, the international payment system, as part of the penalties.

Russian lender TransKapitalBank will operate payment infrastructure services of the new system, which brings together payment firms and service providers involved in money transfer transactions.

The Russian Commercial bank has holdings in foreign financial institutions including the European Bank for Reconstruction and Development, International Finance Corporation and German Investment Corporation DEG.

Meanwhile, the Bank of Russia said in a statement that it has decided to register Non-banking Credit Institution (NBCI) Payment Constructor from St. Petersburg with a licence to enable transactions in rubles and foreign currencies for settlement non-bank credit institutions.

NBCI Payment Constructor’s key activities will include internet acquiring and money transfers, including electronic ones, according to the bank.

Around 33 non-bank credit institutions, including 23 settlement ones, are currently authorised by the Russian Central Bank to operate in the country.

Recent developments in Russia’s payment space

Last week, multiple media reports said that Russia is close to finalising a bill on cryptocurrency regulations with plans to legalise the use of crypto as a medium of payment in the country.

Earlier this month, Reuters reported that the country urged the BRICS group of emerging economies, consisting of Brazil, Russia, India, China and South Africa, to integrate their payment systems and extend the use of national currencies.

Last month, Russia-based Gazprombank launched a new payment offering after major payment firms including Mastercard and Visa halted their services in the country in the wake of the Ukraine crisis.