Myanmar to Use Barter System, Rubles for Russian Imports

Myanmar to use Russian rubles for payments

Myanmar has said it has begun using the barter system to trade with Russia, and will begin using Russian currency to lessen its dependence on the US dollar.

Min Aung Hlaing, the head of the military government, discussed “replacing the use of dollar with other currencies such as yuan, rupee and ruble as well as the barter system” in a meeting with Russian President Vladimir Putin earlier this month, according to a spokesman for the State Administration Council, Major General Zaw Min Tun.

The two countries are to use the barter system for Myanmar’s fertilizer imports from Russia, while fuel purchases from the country will be paid in rubles, the spokesman said.

The central banks of Russia and Myanmar are also in discussion about direct payments in Ruble and Kyat.

Myanmar is also to allow the use of Mir cards, a Russian card payment system for electronic funds transfers, enabling the Bank of Russia to facilitate bilateral trade and investment.

The Southeast Asian country says it will prioritize the distribution of imported fuels to the transport sector, while it hopes to build a small nuclear power plant in the near future.