Did Russian & Indian diplomats postpone trade deals to secure India’s prospects with EU & US?

Reports indicate that India had proposed a tri-trade rupee-to-ruble swap mechanism with Russia to ease bilateral transactions and mitigate the impact of potential new U.S. sanctions on Moscow. The idea aimed to create a localised payment architecture, allowing India to continue importing Russian oil, defense equipment, and fertilizers without relying on the dollar-dominated global financial system. However, following closed-door consultations between senior Indian and Russian diplomats, the proposal was reportedly shelved. According to officials aware of the talks, New Delhi chose to prioritize its broader economic and strategic interests with the United States and the European Union. Both Western partners had expressed concerns that a rupee–ruble arrangement could undermine sanctions enforcement. India, keen to conclude advanced trade negotiations with the U.S. and finalize a free trade agreement with the EU, decided to recalibrate the plan to maintain diplomatic balance and avoid jeopardizing ties with key Western allies.