Traders of Russian oil ask PSU refiners to pay in yuan

Traders offering Russian oil have begun asking Indian state refiners to pay in Chinese yuan, taking recent signs of improving relations between New Delhi and Beijing as a chance to simplify deals with Indian buyers, people aware of the matter said.

- Reuters

India’s top refiner, state-controlled Indian Oil Corp., recently made payments in Chinese currency for two to three cargoes of Russian oil, people familiar with Indian companies’ Russian oil purchases said.

Indian Oil did not immediately respond to Reuters’ request for comment.

Western sanctions imposed on Russia after its 2022 invasion of Ukraine have accelerated usage of alternative currencies, including the yuan and the UAE dirham to settle oil trades, which have long been dominated by the dollar.