The country's monetary system is a form of organization of monetary circulation that has developed over the course of historical development and is characteristic of a particular state and officially enshrined in its legislation.
Over time, the country's monetary systems replace each other, because in different historical periods, money functions in different forms. As a rule, the system of metal circulation is successively replaced by the monetary system of credit and paper money, in which gold is completely supplanted from circulation.
The monetary system of the state implies the presence of a certain monetary unit, various types of money, a price scale, a credit or state apparatus and an issue system.
A monetary unit is a bank note established by the state, in units of which all prices for any goods are expressed.
The monetary system of the Russian Federation at the present stage is characterized by a number of stable features, such as the following. First of all, this is the lack of gold security for paper and credit money (banknotes cannot be exchanged for gold). Today, there is a steady trend towards a transition to credit money that is not exchanged for gold and degenerates into paper notes. Money in Russia is issued not only for the purpose of maintaining and lending to the economy, but also for covering government spending. The cashless form begins to prevail. Regulation of money in circulation is carried out by state bodies.
The monetary system of the Russian Federation is regulated by the law of 1992 on the monetary system of the Russian Federation. According to this document, the official monetary unit of the country is the ruble, the fractional part of which is the penny (one hundredth of the ruble). The issue of any other money outside the territory of the Russian Federation is strictly prohibited.
Only the Central Bank has the right to issue money and withdraw banknotes from circulation. He also has the exclusive right to establish the ruble exchange rate in relation to the currencies of different countries.
There are only two banknotes in Russia - banknotes and rubles. Counterfeiting money signs is punishable by law. The country officially authorized the functioning of cash (coins, banknotes) and non-cash (bank accounts, cards) money.
The monetary system of the Russian Federation exists and functions in accordance with the federal law of 1995 “On the Central Bank of the Russian Federation”, the federal law of 1996 “On banks and banking activities”, as well as subsequent amendments and additions to these laws. These legislative acts define the fundamentals of the money system in Russia, the functions, tasks, and powers of the Central Bank in organizing the circulation of money in the country.
The Central Bank approves samples of official banknotes and coins, which have the legal force of payment. The monetary system of the Russian Federation provides that monetary units issued by the Central Bank are mandatory for acceptance, crediting to accounts, letters of credit, deposits, etc. in the whole Russian Federation at face value.
Banknotes cannot be declared invalid until the due date for their exchange for banknotes of a new type. As a rule, this period varies from 1 year to 5 years. New banknotes are issued within the limits of amounts that are periodically withdrawn from the cash flow.
To date, the structure of the money supply in Russia is represented by aggregates M0, M1, M2. In addition, the M 2X aggregate is used, which is the so-called "broad money" (the amount of M2 with all types of deposits in foreign currency).
Today, the structure of the money supply of the Russian Federation is characterized, despite the clear trends of an increase in non-cash circulation, a fairly high share of cash, the need for mandatory accounting of currencies circulating in the country, and the presence of monetary surrogates. The individual components of the monetary system of the Russian Federation are quite separate from each other and their convertibility into each other is difficult, which leads to additional costs.