“Ruble and Yuan Overtaking US Dollar in Russia: Impact and Implications”

Jakarta –

The United States (US) currency, namely the dollar, is increasingly being pushed aside in Russia. The country led by Russian President Vladimir Vladimirovich Putin now receives a lot of its currency, the ruble and China’s currency, Yuan.

The Chinese government indeed imports a lot of gas and crude oil from Russia. Deputy Prime Minister of Russia Alexander Novak said the payment that the country uses is in Yuan and Rubles.

“Yuan and rubles are in high demand, so the vector will continue. China is already paying in yuan for gas and partly for oil, there are settlements in rubles too,” Novak told Russian state TV. 2023).

The dollar is now increasingly cornered. Russia itself has cut business and cultural relations with the West amid the various sanctions they have imposed on Russia. The sanctions were given after Russia invaded Ukraine since February 2022.

On the other hand, there are countries that are still on good terms with Russia, one of which is China. The country has been buying a lot of gas and crude oil from Russia for its energy needs. Another country that is still friendly with Russia is India.

According to the Russian central bank, transactions using Yuan in Russia’s 2022 export records jumped to 23% from 4%.

(ada/eds)