Indian companies are using Asian currencies more often to pay for Russian coal imports, according to customs documents; and industry sources, avoiding the U.S. dollar and cutting the risk of breaching Western sanctions against Moscow.
Reuters previously reported on a large Indian coal deal involving the Chinese yuan, but the customs data; underline how non-dollar settlements are becoming commonplace.
India has aggressively stepped up purchases of Russian oil and coal since the war in Ukraine began; helping to cushion Moscow from the effects of sanctions and allowing New Delhi to secure raw materials at discounts compared to supplies from other countries.
Russia became India’s third-largest coal supplier in July, with imports rising by over a fifth compared with June to a record 2.06 million tonnes.