Moscow has offered Delhi a discount on oil, and the countries have created an analogue of SWIFT

Meanwhile, India accounts for 2-3% of oil imports from Russia. And as entrepreneurs told Business FM, payments to this country take a long time. What are the prospects for cooperation?

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Russia and India have developed an analogue of SWIFT for transactions in rupees and rubles. In addition, our country is ready to supply oil to India at a big discount. How important is this state for Russia as a trading partner and what do businessmen working with Indian banks say?

Dmitry Dmitriev – General Director of the Moscow company “FEDU Line”. Its profile is household electrical appliances, and the company also imports products from India. The businessman also works with China, and there are no problems in terms of payments. Even if the contracts say that the currency of payment is dollars, you can quickly conclude an additional agreement with any Chinese bank – and the money will come in yuan. But with India it is more difficult. There used to be longer payments than in China, and now it is better not to take any risks, says Dmitry Dmitriev.

Dmitry Dmitriev General Director of the Moscow company “FEDU Line”

According to the Indian newspaper The Economic Times, Russia and India have already created their own payment system – an analogue of the European SWIFT, which allows banks around the world to exchange data. Sources said that New Delhi offered Moscow several platforms, stopped at one of the options, and it suits both sides. It may be Russia’s financial messaging system. And in the near future, representatives of the Central Banks of the two countries may meet to work out the legal framework so that companies can pay not in dollars but in rubles and rupees. But so far payments are going to India with difficulty, confirms the founder of the transport and logistics company VIG Trans Igor Rebelsky.

Igor Rebelsky founder of the transport and logistics company VIG Trans

India is the world’s third largest oil consumer. However, imports from Russia account for only 2-3%. But two weeks ago, Reuters quoted a source in the government as saying that Russia would give India a serious discount on oil and, as the source said, “we will be happy to buy it.” Even then, it was known that states were creating a mechanism for settlements in rupees and rubles, bypassing the dollar. India is primarily buying Middle Eastern oil because it is nearby. And, apparently, Russia will enter the competition for the market. Evgeny Nadorshin, Chief Economist of PF Capital, comments.

Eugene NadorshinEugene Nadorshin Chief Economist of PF Capital

Now Bloomberg reports that Russia is ready to give India a discount of $ 35 per barrel of our Urals brand in relation to Brent. According to sources, we are talking about oil prices until February 24. On February 23, raw materials on world markets cost about $ 99 per barrel. It follows that we may be selling oil to India for $ 64 a barrel. Much cheaper than the market. But it is quite acceptable for the Russian budget. And all this against the background of another recent Bloomberg report. Saudi Arabia, taking advantage of the situation, can raise its oil prices to record levels. At the same time, the media write about the supply of only 15 million barrels of Russian oil to India, they have already been contracted. We extract so much in about a day and a half, and in principle, India is not the most important trading partner for us. Last year, the trade turnover amounted to about 12 billion dollars, which is almost three times less than in America. Therefore, it is more important to simply set up a system of calculations: for the future.

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