Russia refuses U.S. dollars for crude oil, forcing India to use renminbi and UAE dirham for settlement
Indian refiners are reluctantly turning to alternative currencies to purchase Russian crude oil. Indian authorities are pursuing this move to reduce their dependence on the U.S. dollar amid worsening geopolitical tensions and shifts in U.S. policy.
Amid escalating geopolitical tensions and changes in U.S. policy, Indian refiners are increasingly adopting alternative currencies for settling Russian oil purchases, aiming to lessen reliance on the U.S. dollar. Transactions are completed by depositing Indian rupees into designated overseas bank accounts held by Russian exporters, after which the funds are converted into UAE dirhams or renminbi. The information was provided by informed sources who requested anonymity due to the confidential nature of the matter. It has been revealed that some Indian banks with limited overseas operations are assisting in facilitating such transactions.
Early this month, the United States approved India’s expansion of Russian oil purchases ahead of April 11. As the deadline approaches, some Russian oil companies are seeking longer-term agreements and insisting on settlements in alternative currencies to mitigate risks associated with shifting U.S. policies.
Original source: toutiao.com/article/1860687395859520/
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