The participants, who asked not to be identified since the discussions were private, said that the idea calls for rupee-ruble payments over the Russian messaging service SPFS. The situation has not yet been resolved, and it will likely be discussed when Russian Foreign Minister Sergei Lavrov arrives in India on Thursday for a two-day visit.According to the persons, representatives from the Russian central bank would likely visit India next week to discuss the specifics. Executives from its banking system meet with the Reserve Bank of India on a regular basis to discuss issues. A spokeswoman for the finance ministry wasn’t immediately available for comment. The RBI did not immediately respond to an email.
Source: Hindustan TimesDue to its dependence on Russian weapons and the potential to purchase cheaper oil when global oil prices rise, India is eager to sustain bilateral trade. The administration of Prime Minister Narendra Modi has been resisting criticism from Western countries by asserting that it is necessary to buy weapons from Russia in order to confront China’s expanding military aggression.
According to the plan, rubles would be put in an Indian bank, converted to rupees, and then used the other way around, according to one of the persons. Whether the exchange rate will be fixed or floating is one of the undetermined factors.
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