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Russia uses gold to pay for Chinese goods – Reuters

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Chinese banks are massively stopping transactions with the Russian Federation, and transaction processing costs have risen to 6% of the value of payments.

Some Russian companies are facing mounting delays and rising costs for payments to trading partners in China, with transactions worth tens of billions of yuan remaining in limbo. Russian sources told Reuters about it.

Currently, Russians are forced to use gold to pay for Chinese goods, because Chinese banks are massively stopping transactions with the Russian Federation, and transaction processing costs have risen to 6% of the value of payment.

One solution is to buy gold, bring it to Hong Kong and sell it there, depositing the money in a local bank account.

China is now Russia’s largest trading partner, accounting for a third of Russia’s foreign trade last year and supplying goods such as essential industrial equipment and consumer goods that help Russia cope with Western punishment.

We remind you that one of the largest state-owned banks in China, the Bank of China, stopped cooperating with the Moscow Exchange after it was subjected to US sanctions.

The head of the National Bank of Ukraine, Andrei Pyshny, said that the new US sanctions dealt a heavy blow to Russia’s financial infrastructure.

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Source: korrespondent

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