Banks Concerned As Trade Settlements With Russia Stall Amid Sanctions
NDTV
Indian banks are scrambling after bills for imports from Russia have started bouncing and payments for exports have been stuck in the wake of sanctions imposed by the west on Russia following its invasion of Ukraine.
Indian banks are scrambling after bills for imports from Russia have started bouncing and payments for exports have been stuck in the wake of sanctions imposed by the west on Russia following its invasion of Ukraine.
"Due to the various sanctions the payment settlements have halted and that's a concern for banks right now. This has been shared by lenders with the central bank and the industry body," said a senior banking source involved in the discussions.
The Reserve Bank of India has met with select bankers and is trying to assess the exposure that lenders have to Russia and to Ukraine and the impact it may have on Indian banks, said another senior banking executive.
The extent of the payments that are stalled is not clear at the moment and the regulator is trying to assess it.
