India grapples with the new realities of the global oil market

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Several new purchase agreements for Russian crude by Indian state-run oil companies have been reported. But sanctions make paying for it tricky

Save time by listening to our audio articles as you multitaskIndia has refrained from condemning Russia for its invasion of Ukraine, even as the West has imposed sanctions. But big Russian banks have been cut off from themessaging system used for cross-border transactions and American measures have largely blocked the use of dollars, complicating trade. Sergei Lavrov, Russia’s foreign minister, was due to visit Delhi on March 31st, after we wrote this.

In recent weeks a spate of reports in the Indian media have detailed new purchase agreements for Russian crude by Indian state-run oil companies. Hindustan Petroleum was said to have purchased 2m barrels and Indian Oil 3m barrels; Mangalore Refinery and Petrochemicals has sought to buy 1m. Others are said to have made bids for Russian oil, too.

The main difficulty, though, is payments. To deal with Iran after it came under sanctions in 2011, India used Uco Bank, a state-run firm with foreign operations that extended only to Singapore, Hong Kong and Tehran, and which was therefore outside the West’s regulatory net. This time around, however, Singapore has cracked down on Russian transactions, meaning Uco cannot be used.

 

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India funding war crimes

The petrodollars system.

okay hopefully this won't lead to more economic and other political troubles

Europe followed the US in imposing sanctions on Russia, the losers are The Europeans , American defense companies and natural gas companies are the biggest winners. so many idiot leaders in Europe.

Usages in developing World should not be equated to rich economies.

India is a king buyer now...can call shots ...oil companies of all major countries are queueing up...sweet times for India....with plenty of forex at disposal...

No problem paying!!!

7 reasons why sanctions won’t hurt Russia

Countries are moving out from Usdt , so our trades will be in Ruble-Rupee.

Its called crypto, payment a breeze

Ini pesanan jadual? Jangan terlalu berharap negeri lain? Masih luas tanah buat bandar raya di negeri India? Aku sahaja yang bagi penuh suasana pembangunan usahawan? Itu pun kalau dapat berkahwin semula?

How can they resist cheap Russian oil lol

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