India Russia Yuan Payment: Currently, relations between India and China remain tense. Meanwhile, China has praised India, which is surprising. Let us know why China is building bridges of praise for India.
Significantly, the conflict between Russia and Ukraine is occurring, of which India is taking advantage. India is buying Russian crude oil at a discount rate. It is known that the dollar has been used in the international market to buy and sell crude oil. In the same sequence, India bought crude oil from Russia by giving dollars.
Still, in the middle of the war, the tension between Russia and America increased, so Russia was forced to trade in the currency of countries other than the US dollar for trade. In such a situation, Indian refineries have started making some payments in Chinese currency Yuan. Due to this, China has become happy.
Global Times Praised India
The Global Times, called the mouthpiece of China, says that this step of India is a big step in the de-dollarization process. Along with this, he praised the increasing internationalization of the Yuan. Chinese experts believe that India’s payment will boost the internationalization of the Yuan.
Yuan’s Activism Increased
The Global Times quoted Pan Helin, director of the Research Center for Digital Economics and Financial Innovation, saying India’s move will increase the Yuan’s international influence and share in world markets. According to the Society for Worldwide Interbank Financial Telecommunication, the global share of the Chinese currency rose from 2.29 per cent in April to 2.54 per cent in May, and the Yuan remains the fifth most active currency.
