Russia Pilots Geolocation-Based Transit Payments

A new system in Russia’s Kursk region lets riders pay for public transit using a smartphone app that charges fares based on GPS location.

Russia is testing a new contactless fare system for public transportation that relies on geolocation and smartphone integration. The pilot program is underway in the Kursk region and is part of a larger push to digitize everyday transactions.

To use the system, passengers activate a mobile app, Bluetooth, and location services. The app automatically detects when a rider boards a vehicle and deducts the fare electronically. Users must link a bank card in advance. Once payment is processed, the app generates a QR code that serves as a digital ticket, which can be shown to inspectors upon request.

In addition to geolocation payments, Russian riders can still pay via traditional validators or POS terminals using bank cards.

Experts say cash use in Russia is steadily declining. More consumers are turning to digital payments via QR codes, cards, and direct transfers. They also note that the rollout of the digital ruble will further accelerate this trend. In the near future, shoppers across Russia may be able to use the new currency at point-of-sale terminals.