Russia's monetary system is regulated by the Laws “On the Central Bank of the Russian Federation” of 2002, July 10 and “On Banks and Banking Activities” of 2006, July 27. All legal aspects of the monetary system, its functions, tasks, and powers of Bank of Russia are determined precisely by these laws.
The Constitution of the Russian Federation defines financial and currency regulation, issue of money, and the activities of federal banks in the field of the Russian Federation. The rules of financial law determine the status of the country's monetary system. Civil law governs the ownership of money and the way they settle accounts. Administrative law defines liability for violations in the process of money circulation. Criminal law provides for penalties for crimes against the monetary system (more often - counterfeiting, etc.).
The monetary system of a market economy is characterized by the decentralization of money circulation between banks, the division of emissions into non-cash and cash between the links of the banking system, the abolition of the gold content of money, the transition to credit money, the lack of distinction between non-cash and cash circulation, state monetary regulation, centralized management of the monetary system using economic methods, forecast planning of money circulation in the country, independence from the state of the central bank, market setting of the scale of prices and exchange rates in Alute. This is the Russian system of money.
The monetary system of Russia includes the following elements : monetary unit, the procedure for issuing cash , regulation of monetary circulation.
The monetary unit is the ruble, consisting of cents (a total of 100). The legislative introduction of other monetary units in the country is prohibited. In Russia, the ratio of the ruble to any precious metals has not been introduced. The ruble to currency rate is set by the Central Bank.
Legal tender are banknotes and coins. They are backed by assets of the Central Bank, which include the country's gold reserve, state-level securities, and reserves of credit institutions on the accounts of the Bank of Russia.
Only the Bank of Russia has the right to issue cash, coordinate their circulation and withdrawal from circulation. It is he who is fully responsible for the state of the money circulation and the economic situation in the country as a whole.
The money supply of the country consists of banknotes and coins. Samples of all banknotes and coins are approved by the Central Bank. The issue of new coins or banknotes is accompanied by media reports. All means of payment are binding upon payments throughout the country, as well as for transfers, deposits and for crediting accounts.
The modern monetary system of Russia is characterized by the lowest level of saturation in the world with economic money. The level of monetization of the country is 20% (in developed countries 50-100%). The country's money supply is characterized by a high level of cash in it (more than a third of the entire money supply), which leads to exacerbation of insolvency of certain categories of population and enterprises.
The country's money supply is growing due to the large influx of foreign currency associated with rising oil prices. Russian exports exceed imports, which leads to an increase in the surplus and an increase in the amount of currency. Exchanged export earnings force the Bank of Russia to issue rubles, which increases the money supply.
The monetary system of Russia is regulated by the Central Bank in the main areas of monetary policy. Today, there is a need to reform the monetary system, which is caused by inflation and the violation of the main functions of the national currency as a means of circulation and payment, due to the fact that the dollar, euro and various pseudo-payments (certificates, tax liabilities, etc.) are circulated with the ruble.
Money circulation in the Russian Federation is carried out in cash and non-cash. In this process, the movement of money serves the circulation of goods, non-commodity settlements and payments. In cash circulation, the means of payment are real money (banknotes ), which are transferred by the subjects of relations to each other for goods, services and other cases stipulated by law. In non-cash circulation, money is debited from the accounts of entities in banks and credited to the accounts of other entities.