Presidents of Russia and Turkey Vladimir Putin and Recep Tayyip Erdogan following the results of negotiations in Sochi, they agreed to pay in rubles for part of the Russian gas exported to Turkey, AFP and Anadolu news agencies report on Saturday, August 6, citing statements by the head of the Turkish state.

“One of the positive results of the negotiations in Sochi was the agreement on the transition to ruble payments (for gas. – Ed.)”, – the agency quotes Erdogan. Anadolu. “The presidents have agreed that we are starting partial gas supplies and paying for them in rubles,” Russian Deputy Prime Minister Alexander Novak confirmed to journalists. None of the parties said what part of gas supplies will now be paid in national currency.

On the eve of Novak, announcing the agreements reached, he said that it was a gradual transition to settlements in national currencies, without specifying the timing. “We are gradually switching to payment in the national currency, part of the supplies will already be paid in Russian rubles. This is really a new stage that opens up new opportunities, including for the development of our monetary and financial relations,” the Russian Deputy Prime Minister noted.

Turkey seeks to maintain foreign exchange reserves

“Since we will conduct this trade in rubles, this, of course, will bring money to Turkey and Russia,” Erdogan stressed. Partial refusal to pay for gas in dollars will help Turkey maintain its dwindling foreign exchange reserves, the AFP agency notes.

The Turkish government has spent tens of billions of dollars in recent years trying to keep the lira from plummeting during the country’s ongoing economic crisis, AFP recalls. The national currency nevertheless lost 55 percent of its value against the dollar in a year, and annual inflation reached 80% in the country.

Russia supplies gas to Turkey through the Blue Stream and Turkish Stream pipelines. At the end of 2021, the volume of supplies amounted to 26 billion cubic meters.

Turkish banks and Russian Mir cards

In addition, Erdogan, following the talks, said that he and Putin had developed a new “road map” to strengthen bilateral relations, which would serve as “a source of strength between Turkey and Russia in financial terms.” The President of the country said that five Turkish banks are working to expand the use of the Russian payment system “Mir”, which, according to him, will facilitate the stay of tourists from the Russian Federation in Turkey.

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