India to banks, businesses: do not use China yuan currency

Robert Besser
15 Mar 2023, 16:26 GMT+10

Due to long-running political tensions with its neighbor and rival China, India has ordered banks and traders to avoid using Chinese yuan to pay for Russian imports
Now a leading buyer of discounted Russian oil and coal, India prefers to use United Arab Emirates dirham to settle trade
Since 2021, Indian and Chinese troops have been locked in a standoff along their disputed Himalayan border

NEW DELHI, India: Due to long-running political tensions with its neighbor and rival China, India has ordered banks and traders to avoid using Chinese yuan to pay for Russian imports.

Now a leading buyer of discounted Russian oil and coal, India prefers to use United Arab Emirates dirham to settle trade, and said it is not comfortable with foreign trade settled in yuan. Further, India cannot settle in yuan until relations with China improve.

Since 2021, Indian and Chinese troops have been locked in a standoff along their disputed Himalayan border.

India's largest cement producer, UltraTech Cement, earlier paid for a cargo of Russian coal using Chinese yuan, raising concerns among officials in New Delhi.

Reuters has reported that in recent weeks, Indian refiners began settling some Russian oil purchases in roubles, with payments being processed, in part, by the State Bank of India via its roubles account in Russia.

However, as the rouble is only partially convertible and the two countries have yet to finalize a framework, the majority of their trade is still paid for in other currencies.

Due to India's well-established political and security ties with Russia, as well as the fact that it is a major buyer of Russian arms, it has not yet condemned Moscow's invasion of Ukraine.

Watch latest videos

News RELEASES

Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Zimbabwe Star.

More Information

29 ℉

Cloudy in Madison

International

Section

Israel had blueprint of 7 October attack plan - The New York Times

In a report by The New York Times, it has been revealed that Israeli officials had obtained a detailed battle ...

Myanmar ethnic group alliance captures trade gate on Chinese border

NAYPYIDAW, Myanmar: Kyar Win, spokesperson for the Myanmar National Democratic Alliance Army, which launched a surprise offensive last month against ...

U.S. backs Israel's restart of earth-shattering war in Gaza

While Secretary of State Anthony Blinken has been frantically shuttling around the Middle East trying to stop the Israeli coflict ...

12 crew members reported missing as Cargo ship sinks off Greek island

LESBOS, Greece: Greek authorities said a cargo ship sank off the island of Lesbos over the weekend during a storm, ...

Bird flu forces culling of 1.35 million chickens on Ohio egg farm

COLUMBUS, Ohio: To stop the spread of bird flu, more than 1.3 million chickens will be killed on Ohio's Union ...

Israel accused of targeting reporters and their families

In a devastating turn of events, Israel's war on Gaza, sparked by Hamas's unprecedented attacks on October 7, has resulted ...

Africa

Section