Skip to content Skip to Search
Skip navigation

India and UAE close first crude deal in local currencies

By Pramod Kumar
Adnoc L&S logistics fleet Adnoc
The transaction involved the sale of one million barrels of crude oil through the newly implemented local currency settlement system

India and the UAE have concluded the first-ever crude oil transaction through local currencies between Abu Dhabi National Oil Company (Adnoc) and Indian Oil Corporation.

The transaction involved the sale of one million barrels of crude oil through the newly implemented local currency settlement system, Asian News Agency reported, citing a statement from India’s embassy in the UAE.

Both Indian rupees and UAE dirhams were used for the transaction.

The transaction follows the sale of 25 kilogramme of gold from a UAE gold exporter to a buyer in India at about INR128.4 million ($1.54 million).

In July, India and the UAE signed an agreement to settle trade in local currencies to cut transaction costs by eliminating US dollar conversions.

During the visit of Indian Prime Minister Narendra Modi to the UAE last month, the two countries agreed to set up a real-time payment link to facilitate easier cross-border money transfers.

In February 2022, India became the first country with which the UAE signed a comprehensive economic partnership agreement (Cepa).

Bilateral trade has increased by approximately 15 percent since the Cepa came into force on May 1, 2022. Trade between the two countries was $84.5 billion from April 2022 to March 2023.

Latest articles

Saudi hotel llicences. Hajj pilgrims from Indonesia at a hotel in Mecca. Pilgrimages form a large part of Saudi Arabia's tourism goals

Saudi Arabia scraps hotel licence fees to draw investment

Saudi Arabia has removed licensing fees for hotels and resorts in a further effort to increase tourism and improve the kingdom’s investment environment.  The Ministry of Tourism and Ministry of Municipalities and Housing said they would ask hotel establishments to reapply for operating licences online. The decision applies to hotels, hotel apartments and residential resorts.  […]

Mubadala Getir New York

Mubadala applies to take full control of Turkey’s Getir

The Abu Dhabi sovereign wealth fund Mubadala has formally applied to take full control of the Turkish grocery delivery startup Getir. Mubadala had taken a majority controlling stake in the company in June this year as part of a restructuring programme, with a capital injection of $250 million. The filing to take over Getir was […]

PIF spending Yasir Al-Rumayyan

PIF spending to hit $70bn a year early, says IMF

Saudi Arabia’s Public Investment Fund will raise its annual spending to $70 billion in 2025, a year earlier than previously announced, according to an International Monetary Fund official.  PIF’s governor Yasir Al-Rumayyan told a Saudi investment summit in February that the sovereign wealth fund would increase its annual capital spending from around $50 billion a […]

Traders at the Saudi stock exchange. Fourth Milling will not receive any proceeds from the IPO, which will be distributed to the selling shareholders

Fourth Milling to launch retail IPO next month

The two-day retail tranche of the Fourth Milling Company’s (MC4) initial public offering (IPO) will begin on October 2. The company will sell 162 million shares, or 30 percent of its share capital, on the Saudi stock exchange, it said in its prospectus. The price range announcement and institutional book building will commence on September […]