Razorpay Payment Gateway : India's plan to use rupees to buy crude oil thwarted as trading partners refuse to accept rupee payments, says Indian media

According to a report on the website of the Economic Times of India on 25 November, the country's petroleum ministry informed the parliamentary standing committee that the initiative to use the Indian rupee to buy imported crude oil had hit a snag because of the continued refusal of oil-exporting countries to accept rupee payments. Global oil suppliers remain reluctant to accept the rupee as a means of payment, citing high transaction costs and the limited acceptance of the Indian rupee globally, which could lead to foreign exchange risk, the report noted. The oil ministry has said that not a single transaction of oil imports into India has been settled in rupees during the fiscal year 2022-2023. Also, Indian oil importers are yet to enter into any agreement with suppliers to buy crude oil using the rupee. (Overseas)