Card brand Visa Inc. said it will closely cooperate with the Russian government to resolve the issues related to the international payment systems. Russian President Vladimir Putin has signed into legislation in response to U.S. – E.U. sanctions imposed on Moscow after Russia reunified with Crimea.
A Visa representative said that “several provisions in the law are unprecedented and will have a severe impact on the payments market in Russia – particularly for cardholders, financial institutions, and merchants. We intend to work closely with the Russian government to address these issues.”
The new law is aimed at ensuring the smooth operation of international payment systems. Thus, no foreign payment system, a processing center or other participants of a payment system may unilaterally cut services to Russian clients. According to the Bank of Russia, there are 217 million cards issued in Russia, 95% of which accounts for Visa and MasterCard.
