Ahead of his visit to India on December 4 and 5, Russian President Vladimir Putin said Russia and India have laid out an ambitious plan for our collaboration in key domains. Russia’s partnership with India encompasses such fields as space exploration, energy, shipbuilding, and aviation and there are many interesting areas for cooperation in the future such as artificial intelligence. In an interview with the India Today Group’s Anjana Om Kashyap and Geeta Mohan, President Putin also spoke about the need to make better use of the BRICS New Development Bank’s opportunities. Edited excerpts:
GM: There’s immense pressure on India and Russia when it comes to oil. How can both countries handle this Western pressure?
The pressure you have referred to typically involves employing political instruments to influence normal competition. Our energy cooperation with India remains unaffected by current conditions, fleeting political swings, or indeed the tragic events in Ukraine. Regarding hydrocarbons: well before the Ukrainian situation, our business entities had already built a solid and efficient commercial relationship based on mutual trust. It’s widely known that one of our leading companies acquired an oil refinery in India—this investment represented one of the largest foreign inflows into the Indian economy, totalling more than $20 billion. It has been continuously expanding operations of this refinery, working with its partners. As a result, India has become one of the major refined product suppliers to Europe—not just because it buys our oil with a discount. It took years to achieve this and is in no way connected to the current economic environment. Certain actors clearly dislike India’s growing role in international markets owing to its ties with Russia. Consequently, they’re seeking means to constrain India’s influence for political reasons.
GM: Russia has been one of the biggest movers when it comes to nuclear facilities in India. Are we looking at important announcements on the nuclear front?
Yes, of course, we have some announcements to make. We are indeed one of the biggest “movers”, as you have noted. Speaking seriously, we are not “movers”, we are producers of the world’s most advanced and reliable equipment for nuclear power plants. The Russian company Rosatom builds and operates more nuclear reactors abroad than any other company in the world at 22 units. The Kudankulam plant is one of the leaders in this regard. There are some announcements you have just asked about. What is it about? The news is that Russia is probably the only country in the world today capable of building—and actually does build—small nuclear power plants. Such plants are already operational in Russia, and we can make them either floating or ground-based. It’s an excellent option for specific regions where big power stations are not needed or where connecting electricity grids between generators and end-users isn’t feasible. These compact nuclear power modules can, thus, be deployed in isolated and hard-to-access locations.
GM: You’re talking about ‘Make in India, Make With Russia’. How do you think US President Donald Trump is going to react to all of this?
You know, neither me nor Prime Minister Narendra Modi, despite certain external pressure we face, have ever—and I want to emphasise this—approached our collaboration to work against someone. President Trump has his own agenda, his own goals, whereas we focus on ours—not against anyone, but rather aimed at safeguarding India’s and Russia’s interests. In our dealings, we cause no harm to others, and I believe that leaders from other countries should appreciate this.
AOK: President Trump recently said about India, if you are buying oil from Russia, you are funding the Russia-Ukraine war. How would you characterise that?
I never give character assessments about my colleagues—neither those I’ve worked with in the past nor current leaders of individual states. These assessments should be made by citizens who vote for their leader during elections. As for India’s purchases from Russia... I would like to note and have already mentioned this publicly once—the US itself still buys nuclear fuel from us. That is also fuel—uranium for the reactors operating in the US. If the US has the right to buy our fuel, why shouldn’t India have the same privilege? This question deserves thorough examination, and we stand ready to discuss it, including with President Trump.
GM: Trump has weaponised tariffs. How do you think India and Russia should handle the US administration?
He pursues his own policy, and he has advisors; his decisions aren’t made out of thin air. He has advisors who believe that implementing such policies, involving the imposition of additional duties on trade partners, ultimately benefits the US economy. He is acting in good faith, I presume. Our experts believe there are risks involved, but it is the choice of each country and its leadership to decide which economic policy to adopt. We have never engaged in such practices, do not do so now, and have no intention of doing so in the future. Our economy is open. We hope that, in the end, all violations of World Trade Organization regulations will be rectified.
GM: Are we looking at alternative payment systems? Is there going to be a BRICS currency?
There’s no rush in this, festina lente (make haste slowly) and you’ll avoid big mistakes. For instance, in Europe, they set up the Euro system and dragged in certain countries that weren’t economically ready for one single strong currency. And now they’re dealing with some difficult social matters. There’s more than just playing around with inflation there, right? This question is far more complex than just tinkering with inflation a little bit and calling it done. Their entire economy is tied to just one stable currency, therefore social problems arise and budgetary issues emerge. Right now, we don’t aim to have a single currency within BRICS. In this process, there’s no rush anywhere. There is a need to expand the use of national currencies. We must make better use of the BRICS New Development Bank’s opportunities. For example, we propose creating a new investment platform using electronic payments (with an initial capital of $100 billion) to encourage joint investments both in our economies and those of developing nations in the Global South. This could be a very appealing option, because these investments would help us, and they would also benefit the recipient countries, since together we would produce high quality goods at reasonable prices. These products could help the countries of the South to develop further, while also advancing our own growth.
GM: Rupee and ruble payment then?
There are no obstacles here. These are purely economic issues. We fully understand and realise that we do have a certain trade imbalance. However, India’s government does not impose restrictions on our mutual trade. Why? Because they need both oil and petroleum products. The Indian government needs to expand its purchases of Russian fertilisers because these are crucial for Indian farmers. The issue is completely different. It’s not about rupees; it’s about what those rupees can buy for our companies. We’re also thinking about this, not only the Indian government, but we also do. And we agree that this disparity must be addressed, but not through bans, rather by finding areas beneficial for both sides. I want to share with you something completely candidly: this was my direct instruction to the Government of Russia, which is to consider what else we could purchase from India.
AOK: AI is a force to reckon with. Is it for chaos or good?
Like any other achievement, it can be both good and evil. Those who will be the first to master this technology, use it most effectively, would gain a tremendous benefit in all spheres because that will have a multiplier effect for efficiency and productivity. There are also challenges here. And, naturally, we need to take steps to guarantee safety and protection.
