National Currency Payments Speed Up India Russia Trade

A shift in cross-border trade between India and Russia keeps growing, and payment rails using national currencies now handle a large portion of transactions. More automation, quicker settlement times, and smoother currency conversion all help fuel the change.

Good to Know

• Payments in rubles and rupees now handle most India–Russia transactions
• Faster settlement times follow expanded automation and AI processing
• BRICS discussions around currency diversification continue to draw interest

Trade between the two nations has leaned on local currencies for years, yet the pace reached a new point recently. Sber in India plays a key role here, and its CEO Ivan Nosov offered a clearer view of how daily payments work now. He said that “the greater portion of payments” between Russia and India already runs through rubles and rupees instead of U.S. dollars.

Faster Processing Helps Push Local Currencies Forward

Sber in India upgraded settlement systems with more automation and integrated AI tools. As a result, the bank can complete payments in only a few minutes, according to Nosov. He added that the long-standing problem around “stuck rupees” faded away, noting that rupees “can be converted freely” today.

Years ago, rupees often faced conversion limitations in Russia, and that created delays across many sectors. Newer mechanisms appear to have cleared that bottleneck, allowing trade to move at a smoother pace.

Wider BRICS Trade Shifts Reinforce the Trend

Other officials highlighted a similar pattern. Russian Deputy Prime Minister Alexander Novak earlier explained that 90–95 percent of Russia trade volume with India and China already flows through national currencies. He said:

“The market itself meets the need for settlements in national currencies. For example, with our friends from China and India, we have already switched to national currencies by 90-95%. This is automatic, without any purpose, because they do not allow settlements in the respective currency, which used to be the hegemonic one.”

The broader BRICS group continues to explore deeper financial integration, and local currency settlements form part of those discussions. Businesses inside India and Russia now see fewer delays and more predictable settlement rails, making trade routes more appealing for energy, agriculture, manufacturing, and technology.

Automation and Faster Clearing Change the Flow

Quicker payment cycles create ripple effects across supply chains. Banks in both countries test new rails, including real-time verification, automated reconciliations, and AI risk filters. Those tools reduce manual intervention and shrink the gap between invoice and settlement. Local currency reliance also removes pressure from fluctuating dollar liquidity, creating a more stable environment for importers and exporters.

Companies in India reported fewer foreign exchange bottlenecks over the past year, especially for energy shipments and machinery imports. Russian exporters likewise benefit from instant confirmations and predictable cash flows.