Kremlin unveils Russia-Iranian business achievement
Date
10/26/2024 7:57:48 AM
(MENAFN) In a significant development ahead of the upcoming BRICS Summit in Kazan, the Kremlin has announced that Russia and Iran have nearly eliminated the use of foreign currencies in their bilateral trade. According to a recent statement, over 96 percent of mutual transactions between the two nations are now conducted in their local currencies: the Russian ruble and the Iranian rial. This shift marks a critical step in fostering closer economic ties.
The Kremlin also highlighted a notable increase in trade volume, which has surged by 12.4 percent in the first eight months of this year alone, bringing the total to more than USD4 billion in 2023. Officials from both countries have expressed a strong commitment to enhancing their trade and economic relations, underscoring the importance of these ties for both nations.
Additionally, Russia and Iran are collaborating on several major infrastructure and energy projects. Notable among these are the expansion of the Bushehr Nuclear Power Plant in Iran and the International North-South Transport Corridor. This corridor aims to create a transport link from St. Petersburg in Russia to the Indian port city of Mumbai, further solidifying the strategic partnership between the two countries.
Moscow has described its relations with Tehran as being on an upward trajectory, with expectations of evolving into a "comprehensive strategic partnership" in the future. This perspective was reinforced by an upcoming meeting between Russian President Vladimir Putin and Iranian President Masoud Pezeshkian during the BRICS Summit, following previous discussions and a face-to-face meeting at a summit in Ashkhabad earlier in October.
Furthermore, Russia has been actively working to reduce its reliance on the US dollar for international transactions. Prime Minister Mikhail Mishustin reported that over 95 percent of trade between Russia and its largest trading partner, China, is now conducted in rubles and yuan. This trend reflects a broader strategy aimed at diminishing the influence of Western currencies in global trade.
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