Russian companies are preparing to switch contracts to renminbi and other Asian currencies amid fears that western sanctions may freeze them out of the US dollar market, according to two top bankers.
“Over the last few weeks there has been a significant interest in the market from large Russian corporations to start using various products in renminbi and other Asian currencies and to set up accounts in Asian locations,” said Pavel Teplukhin, head of Deutsche Bank in Russia.
Andrei Kostin, chief executive of state bank VTB, said expanding the use of non-dollar currencies was one of the bank’s “main tasks”. He has told Russian president Vladimir Putin that developing the use of settlements in roubles and renminbi was “a priority” they have been working on since May.