What is the reason for the uncertainty over India-Russia defence deals

The payment crisis has led to uncertainty over India-Russia defence deals.
  • The payment crisis is one of the primary reasons for the uncertainty over India-Russia defence deals. Due to the sanctions imposed on Russia by the United States, payment mechanisms have been affected as they are primarily conducted in US dollars.
  • India has been struggling to find a feasible way to make payments to Russia without violating the sanctions. This has caused delays and uncertainty in finalizing defense deals.
  • The uncertainty over the payment methods has also impacted the signing of new defense contracts between India and Russia. Without a reliable payment mechanism, India is hesitant to finalize any new deals.
  • The uncertainty over the defense deals is also a result of the changing geopolitical dynamics. India's deepening defense ties with other countries, such as the United States, may have an impact on its engagement with Russia.
  • India is striving to achieve self-sufficiency in defense manufacturing and reduce its dependence on imports, which could also contribute to the uncertainty over defense deals with Russia.
Overall, the payment crisis, changing geopolitics, and India's push for self-sufficiency in defense manufacturing are key factors contributing to the uncertainty over India-Russia defense deals.
Answered a year ago
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