ISLAMABAD: Russia has proposed Pakistan to use local or third party currencies (Chinese RMB or UAE Dirhams) and Russian banking messaging system for bilateral trade to avoid pressure from other countries.
These suggestions were floated by Russian President, Vladimir Puttin at a meeting with Pakistani Prime Minister, Shehbaz Sharif during a meeting on the sidelines of the SCO Summit in Astana in July this year.
“We can use the Russian banking message system for bilateral trade. The use of 3rd party currencies can also be used. We should move towards mutual settlements in a manner that avoids exposure pressure from other countries “the sources quoted Mr. Putin as suggesting to Pakistani Prime Minister.
Russian President was of the view that Pakistan’s transit potential can be used as part of International North South Transport Corridor to cover the Eurasian Economic union. He said Russian Railways remain interested in upgradation of rail infrastructure from Quetta to Taftan.
Russia is also waiting for Pakistan’s inputs on the MoU for Belarus-Russia- Kazakh –Afghan- Pakistan corridor, the sources quoted Mr. Putin as saying.
Responding to Russian President on Belarus-Russia- Kazakh –Afghan- Pakistan corridor, Prime Minister, Shehbaz Sharif said “ it is music to my ears. It will transform the entire region if we can have railroad connectivity on this route,”. He further stated both countries can use the barter system which was used in 50, s 60, s 70, s to overcome banking and finance issues. He also offered Russia to build modern steel plant to replace the previous one. President Putin requested for Pakistan’s participation at the Caucasian investment forum to be held in Russia.
He said Russia has supplies 7 million tons of oil to Pakistan and ready to increase its support. Russia can also supply 1.5 million tons of LNG to Pakistan and also ready to send a delegation to Pakistan. Deputy Prime Minister on Energy, Alez Novak said that gas pipeline in Iran can be used for supplies to Pakistan and Russia can help development of gas infrastructure in Pakistan.
The proposals discussed between Prime Minister, Shahbaz Sharif and President Putin will be discussed and materialised during scheduled visit of Russian Deputy Prime Minister Alexey Overchuk on September 18-19,2024.
