CIS nations shift 85% of trade to local currencies

At the recent Commonwealth of Independent States (CIS) summit in Russia's Leningrad Region, President Vladimir Putin revealed that over 85% of trade among CIS member nations now occurs in their respective national currencies.

“The share of national currencies in payments on commercial transactions with member states of the Commonwealth exceeds 85%,” Putin stated during the summit.

This development represents a major step toward reducing reliance on foreign currencies and fostering economic independence within the bloc.

Established in 1991 after the Soviet Union's dissolution, the CIS consists of nine full members, including Russia, Belarus, Kazakhstan, and Uzbekistan, with Moldova participating to a lesser extent.

The bloc focuses on collaboration in political, economic, and security matters, with trade and economic cooperation serving as essential components of its framework.

Putin emphasised the growing use of independent financial systems and tools within the bloc.

“Cooperation between CIS states in the currency and financial area is expanding, with their own independent payment systems and payment tools being more and more frequently used for servicing mutual economic transactions,” he noted.

This shift aligns with the CIS's strategy to enhance regional economic resilience in response to external challenges such as global sanctions and market fluctuations.

By prioritising local currencies and developing independent financial mechanisms, CIS countries aim to strengthen their economic self-reliance and reduce vulnerability to external financial pressures.

The increased use of national currencies reflects the bloc's commitment to building a stable and interconnected economic system that can withstand global uncertainties.