Bilateral payments with Russia unlikely to be impacted amid sanctions

Bilateral payments with Russia may not be impacted even as the US and other western countries have imposed economic sanctions on Moscow in the wake of the attack on Ukraine.

India and Russia bilateral payments are made in Indian rupee. For both imports and exports, payments are made or received in rupee for shipments. So, sanctions by the West may not have an impact on the payments, barring exchange rate fluctuation, sources said on Friday.

Russia is one of biggest suppliers of defence products and equipment to India, mostly under government-to-government contracts.

Bilateral trade between India and Russia stands at USD 9.4 billion