Trade and Industry Minister Suresh Prabhu, who also participated in the Assembly, proposed an agreement with Russia on diamond imports in a way that did not have a negative effect on India`s balance of payments. He said that India was the hub for cutting and polishing diamonds, and that Russia had huge reserves of diamonds. A rupf-rouble mechanism will help both economies guard against foreign currency risks and impose U.S. banking sanctions on trade with Russia. „Our country is studying investment protection and the prevention of a double taxation agreement with India…. We are also dealing with the trade in national currencies and a strategy for economic cooperation,” Russian Economic Development Minister Maxim Oreschkin told a joint economic council hosted by ICN on Thursday. Last October, India signed a $5.4 billion contract for S-400 missile systems with Russia and agreed to pay in rubles. Russia called for the introduction of rupf-rouble trade to boost bilateral trade with India, and said it has developed a strategy to strengthen economic cooperation with India. „It`s not just S-400, there are other contracts that are being discussed on finding new payment methods. It is not yet finished, but the general direction is a stronger use of national currencies. So there will be payments in rupees and rubles, and we intend to move things forward on a mutually acceptable basis,” Said India`s Ambassador to Russia, D. Bala Venkatesh Varma, last December.
Before the arrival of the Russian president, his chief foreign policy adviser, Yuri Ushakov, had confirmed that the Russian president would accept the signing of the S-400 agreement on the air defense system. The first official confirmation from the Russian government at the highest level of the agreement, which is worth more than $5 billion. The United States is following this visit very closely. It was only last week that the Trump administration imposed sanctions on China, which was the first foreign buyer to acquire the deadly missile system in 2014. Adjust your preferences and receive a personalized story recommendation based on your interest. The Russian leader, who is accompanied by a high-level delegation, was received thursday in New Delhi by Foreign Minister Sushma Swaraj. Later, he was received by Prime Minister Narendra Modi in his residence, 7, Lok Kalyan Marg for dinner, while the two leaders discussed a wide range of topics, including bilateral cooperation and strategic issues.