Supplies of Russian weapons to India have stopped due to the impossibility of their payment

Russia has stopped supplying its weapons to India due to the fact that the parties cannot yet find a way to pay for supplies that does not violate American sanctions. This is reported by Bloomberg with reference to sources in the Indian government, reports theins.ru.

Russian President Vladimir Putin and Indian Prime Minister Narendra Modi

For a year, India has not been able to make payments of $2 billion for Russian weapons. The supply of spare parts for weapons systems has stopped. Two S-400 air defense batteries were not delivered. In total, India planned to purchase $10 billion worth of arms from Russia in the near future.

India cannot pay the bill in US dollars, as in this case secondary sanctions await it. Russia does not want to accept rupees because of the volatility of the exchange rate of this currency. In turn, India cannot buy the required amount of rubles on the open market at a "fair price".

Bloomberg sources say that the Indian authorities offered Moscow to invest the rupees that Russia could receive for the sale of weapons in the Indian national debt and capital markets. However, the Russian authorities "did not find this scheme attractive."

One of the solutions to the problem could be payment in euros and dirhams, the currencies with which India pays for Russian oil. However, in this case, the US may pay closer attention to its supplies. India is also considering the possibility of barter, however, Russia is already the largest buyer of Indian goods after China and Turkey.

It was previously revealed that the State Bank of India and the Indian Bank of Baroda notified Indian oil refining companies that they will not be able to make payments for Russian oil whose price exceeds the ceiling of $60 established under the sanctions.

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