Russia is preparing to launch an expansive facial recognition payment network, spearheaded by Sberbank and the National Payment Card System (NSPK). The project aims to install approximately two million biometric payment terminals nationwide, beginning with Moscow’s metro system in 2024 and expanding fully across the country by late 2025.
The system is tied to the state-run Unified Biometric System (UBS), a centralized database for identification and authentication. While designed to streamline payments and offer additional features such as automated hotel check-ins and age verification for restricted purchases, the initiative has raised significant privacy concerns.
Transforming payments amidst privacy debate
Set to become one of the world’s largest biometric payment networks, this initiative promises to revolutionize how transactions are made in Russia. Initially introduced in 2021 with Moscow’s “Face Pay” system, the project is now scaling up under the leadership of Sberbank and NSPK.
Incorporating the UBS, the system centralizes biometric data for identification purposes. Since 2022, state-owned banks have been required to transfer their customers’ biometric data to this platform. Despite these efforts, adoption has remained limited, with fewer than three million users registered in the database.
Enhanced capabilities and surveillance risks
Beyond facilitating payments, the system’s features include age verification for restricted transactions and automated hotel check-ins, positioning it as a versatile tool in financial and commercial settings. However, the extensive use of biometric data has sparked concerns about surveillance and data security.
These concerns are exacerbated by the use of facial recognition technology by law enforcement agencies, which have employed it to monitor and detain political dissidents. This dual-purpose functionality raises alarms about potential misuse and the erosion of civil liberties.
Leading the charge in biometric payments
With this initiative, Russia is positioning itself as a global leader in biometric payment systems, following countries like China that have already embraced facial recognition technology for payments. However, Russia’s approach distinguishes itself through its integration with a state-controlled database, amplifying debates over privacy and surveillance.
As the nation transitions to a biometric-driven financial network, the implications for privacy and civil rights remain critical. With full deployment expected by 2025, the coming years will test whether this ambitious undertaking can effectively balance technological innovation with the protection of individual freedoms.
