Moscow Plans Yuan Bonds to Manage BRICS Energy Export Funds

Russia is making a historic pivot to yuan-denominated bonds, with its first-ever domestic debt issuance in Chinese currency scheduled for December 8, 2025. The Finance Ministry aims to place up to 400 billion rubles ($4.9 billion) worth of yuan bonds on the Moscow Exchange, featuring maturities ranging from three to seven years.

The MOVE comes as Russia grapples with a ballooning budget deficit, which has surged to 5.7 trillion rubles ($63 billion)—nearly five times the original 2025 target. Energy revenues, a cornerstone of the Russian economy, have plummeted, with oil and gas receipts down 20% year-on-year as of September. Customs duties and tax collections are also underperforming, exacerbating fiscal pressures.

BRICS energy funds are increasingly flowing through Chinese currency channels, reflecting a broader shift in global trade dynamics. The bond issuance targets a wide investor base, including banks, asset managers, and retail market brokers.