Venezuela seeks trade with Indian currency

South American oil- rich nation Venezuela has requested India for an Iran- style arrangement wherein bilateral trade can be permitted in Indian Rupees instead of the US Dollar.

Visiting Venezuelan Foreign Minister Jorge Arreaza said in New Delhi on Monday that Venezuela wants trade with India in oil and other commodities such as food and medicines to be conducted in Indian Rupees and not in US Dollars. Venezuela has been facing economic sanctions imposed by the United States.

He said that in his interaction with senior Indian ministers during his visit, he had kept in mind that India had granted this facility recently to Iran. “We did seek it ( a similar decision from India regarding Venezuela),” Mr Arreaza told reporters but pointed out that Venezuela even now trades with China, Russia and Turkey in currencies other than the US Dollar.

Venezuela wants to be able to do the same with India as well, said Mr. Arreaza, adding that he is awaiting a decision on this matter by the Indian Finance Ministry.

“If such a decision is taken, we will open accounts in banks here ( in India),” he said.

It may be recalled that New Delhi had recently allowed investment in Indian Rupees in Iran. Till then, India had allowed this facility only in neighbouring Nepal and Bhutan.