Sanctions on Russia an opportunity to internationalise rupee: SBI report

'Moment of reckoning' for Indian currency as countries look to circumvent West's crackdown on Moscow, says research.

Countries proposing rupee-rouble or yuan-rouble trade to bypass Western economic sanctions on Russia for invading Ukraine are an opportunity for the internationalisation of the Indian currency, according to a report by State Bank of India (SBI).

Internationalisation means a currency can be freely transacted by both resident and non-residents, and be used as a reserve currency for global trade.

“An interesting anecdote, the hegemony of US $ appears likely to continue in next few decades, notwithstanding the alternate settlement mechanism being envisaged by select nations desirous of continuing inter-territorial trades of compulsory nature, circuiting around the western sanctions as backdoor