BRICS members India and Russia are initiating crude oil deals that will save them billions of dollars this year in 2023. The US pressed sanctions against Russia in February 2022 for invading and waging war against its neighboring country Ukraine. India has been making the most out of the US sanctions by procuring cheap crude oil from Russia since then. Russia is selling crude oil at discounted prices to India and both the BRICS countries are successfully bypassing US sanctions.
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BRICS: Crude Oil Exports Between Russia & India Rise 2,200% in 2023
The US sanctions have helped BRICS members India and Russia to settle oil deals for cheaper in local currencies. Russia increased its crude oil exports to India by 2,200% since the sanctions were pressed by the US. The move made India pay local currencies such as the Chinese Yuan to procure cheap Russian oil.
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In addition, the development made India save a staggering $7 billion in foreign exchange by ditching the US dollar. Therefore, BRICS members are making the most out of the US sanctions by buying oil at discounted prices.
“Most of our energy resources have been redirected to other, friendlier markets,” said Russian Deputy Prime Minister Alexander Novak. “If we look at oil supplies to India, they increased 22 times last year. Supplies to the People’s Republic of China and other markets have also grown. This is also the result of the great work that has been done in the industry,” he said.
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Additionally, Saudi Arabia is also helping Russia to evade US sanctions and conduct oil deals successfully. The new BRICS member Saudi Arabia is buying cheap oil from Russia and laundering it to the European markets. In conclusion, the BRICS alliance is doing everything possible to keep the US dollar away from all international transactions.