India proposes settling Russia trade in rupees as purchases rise: Report

India is proposing to settle trade with Russia in rupees, according to a person with knowledge of the matter, as the South Asian nation presses ahead with purchases of oil and weapons from the sanctions-hit country.
 

New Delhi plans to use about $2 billion equivalent of rupees deposited at Russia’s state-controlled VTB Bank PJSC and Sberbank of Russia PJSC, the person said, asking not to be identified as the deliberations are private. A plan could be finalized soon as Russian officials are visiting the Indian capital this week, the person added.

India has previously used a rupee-ruble mechanism, which has