India's currency, the rupee, faces a serious challenge: it is unable to buy oil. The news shocked the global oil industry, with almost all oil merchants refusing to accept rupee payments. India's plan to buy ** with rupees has reportedly been frustrated, and its ** partners are still reluctant to accept payments in this currency.
India's Ministry of Oil and Natural Gas said that during the 2022-2023 fiscal year, India did not have a single import oil transaction settled in rupees. This means that most of the world's oil merchants still refuse to accept rupee payments. They argue that the limited acceptance of the rupee globally will increase FX risk and lead to a spike in transaction costs.
Even Abu Dhabi National Oil Company and other companies are expressing their concerns about settlement in rupees to the Indian authorities. This situation is putting tremendous pressure on India, which urgently needs to find a solution to the problem.
However, despite the difficult situation, India has not given up. They are actively seeking to engage in dialogue with oil ** traders to find a solution. India's Ministry of Petroleum and Natural Gas is working to increase the global acceptance of the rupee and is seeking to reach agreements with ** merchants to reduce foreign exchange risk and transaction costs.
Despite the enormous challenges facing India, we are confident that over time, India will be able to overcome this dilemma and find a solution that works for itself. The situation where the rupee could not buy oil will be a thing of the past, and India will continue to play an important role on the global stage and contribute to the prosperity of the world economy.