Vladimir Putin’s remarks come at a moment when debates about reducing dependence on the US dollar, building independent global payment channels, and expanding the use of national currencies in trade have been gaining significant traction within the BRICS grouping, particularly after Western sanctions triggered structural shifts in the international financial order.
In an exclusive interview with India Today, the Russian President stated that Moscow is not eager to push aggressively for a unified BRICS currency or attempt a rapid redesign of the world’s financial architecture. According to him, taking steps too quickly in that direction could expose participating economies to avoidable risks and instability.
Putin acknowledged that conversations about creating alternatives to traditional financial mechanisms are justified and necessary, but he emphasised that the implementation must be slow, deliberate and data-driven. He referenced Europe’s transition to the euro as a warning, explaining that adopting a single currency without ensuring economic compatibility among all participants had led to multiple crises in the eurozone. He pointed out that the union absorbed economies that lacked the readiness required for a common currency, resulting in long-term social and fiscal strain. In his words, impatience increases the likelihood of severe structural mistakes, whereas careful progress avoids them.
When questioned about why the rupee-rouble settlement system has not expanded despite both countries supporting trade in local currencies, Putin clarified that the challenge is economic rather than political. India’s imports from Russia — particularly oil, petroleum products, and fertilisers — are much larger than its exports to Russia. As a result, Moscow accumulates far more rupees than it can currently spend in the Indian market. Putin stated that Russia has no issue receiving rupees, but the practical concern lies in determining what Russian companies can purchase in India using those funds.
He also stressed that India has not imposed any trade restrictions on Russia. In fact, he shared that Prime Minister Narendra Modi has been urging Russia to increase fertiliser deliveries to help farmers and strengthen India’s agricultural sector. This, in turn, contributes further to Russia’s rupee earnings.
To correct the trade imbalance, Putin disclosed that Russia is now taking proactive measures to identify additional goods and services from India that could be imported on a larger scale. He revealed that during his visit, Moscow will host a special meeting of Russian importers to analyse market needs and pinpoint new commercial areas where India can develop an export advantage. He specified that this initiative stems from a direct instruction he issued to the Russian government.
Putin affirmed that both nations recognise the need to balance trade, but he insisted that this should be achieved by expanding economic opportunities rather than restricting flows or imposing barriers. According to him, the objective is to explore fresh sectors where business activity can be mutually profitable rather than opting for prohibitions.
While the global conversation about a future BRICS currency continues to grow, Putin reiterated that such a shift must happen naturally, guided by actual economic demand rather than emotion or political slogans. The gradual reduction of global reliance on the US dollar, he suggested, will take place over time, supported by the expansion of local-currency trade formats like rupee-rouble settlement as trade structures evolve and become more balanced.
