India and Russia are considering the possibility of creating a mechanism for trade settlements in national currencies (rupiah and ruble). Such a trade mechanism will allow Indian exporters to receive payment for supplies to Russia in rupees, and not in dollars or euros.

As part of such an agreement, both countries will have to open accounts in the partner's respective national banks. It is not yet known which banks will participate in the transaction. Representatives of the parties note that a third currency can be taken as a reference point – for example, the yuan.

At the same time, it will not be necessary to link the exchange rate to any currency – under the agreement, the Russian currency will be converted into rupees, and the money will be credited to an Indian bank account. It is noted that the payment mechanism in rupees with Russia has already been used previously on a small scale. 

Supporters of the new deal are confident that it is of key importance for both Russia and India. As you know, India buys a lot of defense and nuclear products from Russia, and in return exports pharmaceutical and agricultural goods, as well as products for the engineering industry.

Indian officials say they are working on a currency agreement to facilitate trade, especially since India also intends to increase purchases of Russian oil. At the moment, due to Western sanctions, payments to Indian exporters in the amount of about $ 500 million for goods already shipped to Russia have been blocked.