India-Russia Trade: Is Indian Rupee Worthless For Cross-Border Transactions?
What good is a currency in global trade if it can not be used to buy products and services from other nations that a country needs? The answer to this question came when Russia said it has accumulated billions of rupees in Indian banks which it can not use. “This is a problem”, Russian Foreign Minister Sergei Lavrov told reporters in India’s Western state of Goa on the sidelines of the Shanghai Cooperation Organization meeting. “We need to use this money. But for this, these rupees must be transferred in another currency, and this is being discussed now”. Russia has decided it won't take any more Indian rupees. Moscow has rejected New Delhi's proposal for the Kremlin to invest rupees from oil and military equipment payments back into Indian capital markets so the currency doesn't pile up. Global Export Map 2023. Source: World Population Review Only the currencies issued by the governments of the world's largest exporters are useful for buying products and service...