PM Putin suggests Russia, China ditch dollar in trade deals

MOSCOW (RIA Novosti) – Russian Prime Minister Vladimir Putin proposed on Tuesday that Russia and China gradually switch over to national currency payments in bilateral trade, expected to total $50 billion in 2008.

“We should consider improving the payment system for bilateral trade, including by gradually adopting a broader use of national currencies,” Putin told a bilateral economic forum.


He admitted the task would be tough, but said it was necessary amid the current problems with the dollar-based global economy.

Chinese Prime Minister Wen Jiabao described strengthening bilateral relations as “strategic.”

“Mutual investment by Russia and China has already exceeded $2 billion, this is a very good index,” Jiabao said.

RIA Novosti