India-Russia Bilateral Trade and Cooperation

On December 5, 2025, during the India-Russia Annual Summit in New Delhi, India Prime Minister and Russian President committed to enhancing bilateral trade in national currencies and reducing dependency on the U.S. dollar.

Trade in National Currencies

• India and Russia agreed to develop bilateral settlement systems using national currencies.
• This initiative aims to reduce reliance on the U.S. dollar and address India's trade deficit with Russia.

Bilateral Trade Goals

• Target to achieve $100 billion in bilateral trade by 2030.
• The current trade value stands at $68.7 billion as of 2024-25.
• Efforts to remove tariff and non-tariff barriers are underway to meet this goal.

Financial and Payment Systems

• Consultations on interoperability of national payment systems are ongoing.
• Emphasis on developing central bank digital currency platforms.

Trade and Multilateral System

• The importance of an open and non-discriminatory multilateral trade system is emphasized.
• The WTO remains central to the international trade system.

Logistics and Connectivity

• Focus on removing logistics bottlenecks and promoting connectivity.
• Plans to enhance transport corridors like INSTC and the Chennai-Vladivostok Corridor.

Energy Sector Cooperation

• Efforts to resolve issues faced by investors in the energy sector.
• The energy sector is a significant pillar of the India-Russia strategic partnership.

Expert Opinions

• Expert notes organic growth in business links between India and Russia.
• Optimism for robust growth in bilateral trade, despite debates on achieving the $100 billion target by 2030.

Future Prospects

• Prime Minister expressed confidence in reaching the trade target before 2030.
• Increasing interest in bilateral trade from both governmental and grassroots levels.