China has steadily internationalized the RMB yuan as it was included in the IMF basket and moved into fifth place as the world currency, representing 15 percent of global monetary holdings, with Russia holding 25 percent of China`s international RMB reserves and, in exchange, the U.S. dollar. These measures will mean that the US dollar will post less than half of global trade in less than 5 years. These developments have been rapid. A little over two years ago, I asked what currencies were used along the Belt & Road? Now we know. The Eurasian Silk Road is dominated by the Russian ruble, the Chinese yuan RMB and the Indian rupee in terms of trade. He also wrote that, unlike the trade relations between Russia and India, which amount to $10 billion a year, the volume of trade does not correspond to its real potential. “In fact, the current volume of trade between the two countries is very small compared to the total volume of Russian foreign trade,” the author explained. Russia and Pakistan plan to improve their economic exchanges, which amounted to only $800 million in 2018 but are expected to grow in the future. “So far, the two countries have simplified procedures and promoted trade by establishing an intergovernmental commission on trade and economic cooperation,” Bonesh noted.
On 18 March, all Member States had signed a roadmap for trade and investment in local currencies between Member States. According to reports, when trade and investment between SSC member states starts in national currencies instead of the dollar and the pound sterling, it will be a big step forward. It will also strengthen Member States` national currencies and promote mutual trade and reciprocity of investment. Meanwhile, India has expanded rupee-dirham currency exchanges with the UAE, approved a $75 billion swap agreement with Japan and a $400 million swap with ASEAN countries. India also negotiates non-dollar traded exchange rates for Turkish and Korean currencies, and Turkey negotiates with China and Russia in national currencies. All Member States will sign a roadmap for trade and investment in national currencies between Member States. Russia has published the agenda for the SOZ finance ministers` meeting, convened in Moscow on March 18. The NRC includes China, India, Kazakhstan, Krygysstan, Pakistan, Russia, Tajikistan and Uzbekistan, while Iran and Turkey are dialogue partners and participate in discussions. Other interested and participating countries are Afghanistan, Armenia, Belarus, Mongolia, Cambodia and Nepal. This effectively represents the entire land mass, from China to Europe, and is home to some of the world`s fastest-growing economies, five nuclear states and 50% of the world`s population. As a result, all these countries have established ties with China and Russia for trade and economic sustainability.
Russia sells crude oil from Venezuela….