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India refused to pay in ‘Petro’ for oil despite 30 percent discount by Venezuela



India refused to pay in ‘petro’ for oil despite 30 percent discount by venezuela

India has refused  Venezuela’s offer to India to import oil by paying petro ( cryptocurrency of Venezuela ) even after South American nation offered 30 percent discount if India uses petro as payment this stand of Indian govt is seen as its Central Banks policy to curb the cryptocurrencies.

The foreign minister of India Sushma Swaraj told in a press conference that Venezuela is giving an offer of 30 percent discount if India pays in petro.

Citing the stand of Indian Central bank to curb the use of cryptocurrency, she responded that country will not purchase oil by paying petro as the central bank as already announced that cryptocurrencies having no legal tender in the country.

Official report stated

“We cannot have any trade in cryptocurrency as it is banned by the Reserve Bank of India. We will see which medium we can use for trade.”

Reserve Bank of India stated in April to its clients not to deal with transactions in cryptocurrencies. Banks are also directed not to provide services to business dealing in cryptocurrencies.

RBI also earlier stated to banks that not to entertain cryptocurrency exchanges established in India and provided a deadline of three months to wrap the business, but many cryptocurrency exchanges challenged this stand of RBI in Delhi High Court.

Petro itself has seen many criticisms in its own country, Venezuela’s National Assembly declared the ‘unconstitutional’ petro ‘a fraud’.But Venezuela having world’s largest oil reserve declared petro as state’s cryptocurrency and became first to do so and the nation did this to combat economic sanctions and blockade.

“India follows only UN sanctions and not unilateral sanctions by any country,” Swaraj added, insisting India would continue to trade with Venezuela despite oil imports from the South American nation being at their lowest levels in over five years.

India although not import oil by paying petro but will remain a strategic partner of the South American nation to import oil.

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Neeraj Pandey is a crypto enthusiast who writes ardently about happenings in the crypto world since 2016 and delivers his knowledge of Blockchain, initial coin offerings (ICOs)  and breakdowns of the crypto world to its users relentlessly.