Economic Relations between Russia and India. Opportunities and Intricacies

Academic Paper from the year 2024 in the subject Politics - International Politics and Country Analyses, University of Mumbai, language: English, abstract: This paper deals with the fluctuating nature of India's trade with Russia, focusing on the challenges and opportunities in key sectors such as machinery, equipment, and military hardware. Despite India's intent to make significant purchases, hurdles like ad-hoc currency utilization and limited export prospects persist. The historical context of Indo-Russian relations, from the Soviet era to post-Soviet adjustments, underscores the complexities faced in economic cooperation. Efforts to revive ties led to agreements on friendship and military-technical cooperation, yet economic relations have not paralleled these advancements. Challenges such as currency disputes and declining trade shares have hindered progress, despite some ongoing cooperation in select sectors. Recent initiatives in telecommunications and energy cooperation show promise, alongside efforts to enhance economic ties through strategic dialogues and regional cooperation. Despite geopolitical challenges, both countries aim to deepen economic engagement beyond traditional sectors, evident in recent joint statements and ministerial-level exchanges. The paper concludes by highlighting potential areas for further collaboration, including temporary manpower exchanges and long-term infrastructure projects.