Decades of dollar dominance in jeopardy over Russia-India oil deal

However, trading Russian oil in dirhams is expected to become more difficult in the coming days, as the US and Britain last month added Moscow- and Abu Dhabi-based MTS Bank to Russian firms on their sanctions list.

Trade sources also said that MTS has played a role in some non-dollar transactions in India’s oil purchases. Reuters did not immediately receive a response from MTS or the US Finance Ministry in this regard.

Indian buyers and Russian suppliers are determined to continue dealing in Russian oil despite the fact that most Russian banks have fallen under Western sanctions since the start of the Ukraine war, an oil refinery source in India said.

“Russian suppliers to find another bank to take oil prices. “Since the government is not asking us to stop buying Russian oil, even if the current system is stopped, alternative trading strategies will come out,” the source said.

Source link