MUMBAI (Commodity Online): Iran and India have reached an agreement with regard to India's oil payments. As per the new arrangement, India will pay 45% of crude oil imports in Rupees and Iran can use the Rupee payments for buying Indian products like machinery,metals, food etc.
“Fortunately, a suitable mechanism has been found by the two countries. Officials of both countries met last week and both the Central Bank of Iran and the Reserve Bank of India are happy with this arrangement. This mechanism is agreeable to both countries” Iran ambassador Syed Mahdi Nabizadeh told reporters.
Increasing US pressure on Iran had made it difficult for India to pay Iran since the US dollar was the currency of exchange but through the new deal, both countries have succeeded in overcoming the US roadblocks
