India and the United Arab Emirates agreed to use their respective local currencies for cross-border transactions instead of the US dollar, Bloomberg reported.
Indian Prime Minister Narendra Modi and UAE’s President Sheikh Mohammed Bin Zayed Al Nahyan in Abu Dhabi have already signed two memorandums of understanding.
The pacts will help the countries build a framework for rupee-dirham transactions, along with interlinking payment and messaging systems, as well as their respective card switches, RuPay and UAESWITCH, allowing “mutual acceptance of domestic cards and processing of card transactions,” the Reserve Bank of India said in a statement.
De-dollarization is in full swing!
