In recent time monetarisation of economy has been intensifying at "an unprecedentedly high rate", Zhukov told the 15th congress of the Russian Bank Association.
"A higher rate of monetarisation may spell danger for the economy", he warned.
"An even rapidly strengthening banking system may not stomach this money supply", Zhukov stressed.
Moreover, if prior to 2003 capital was flowing out of Russia, "now the situation is radically changing". "We expect that 2004 will be the first year when the money outflow becomes inflow, which is also an additional load on the banking sector", Zhukov said.
"The cabinet will take every step to make Russian money work above all in Russia", the vice-premier assured. He explained that no artificial tools are supposed to be used to keep capitals within the country but only "a situation will be created when money finds it more comfortable and lucrative to remain in Russia".