Turkey set to pay for 25 percent of Russian gas in roubles, says Putin

An agreement between Ankara and Moscow for the payment of 25 percent of Russian gas supplies to Turkey in rubles will come into effect in the near future, Russian President Vladimir Putin said on Friday.

The remarks arrived during a meeting between Putin and his Turkish counterpart Recep Tayyip Erdoğan on the sidelines of the Shanghai Cooperation Organization (SCO) summit in Samarkand, Uzbekistan, Reuters reported.

"In the near future, our agreement on the supply of natural gas of Russian origin to Turkey with payment for 25 percent of these supplies in Russian rubles should come into force," Putin said.

"As far as I understand, the [relevant] issues have been agreed upon, so I am sure that work in this regard will proceed in accordance with our agreements," he added.

Putin and Erdoğan during a meeting in Sochi last month had agreed to switch part of payments for Russian gas to the rouble currency, Reuters reported, as part of a broader boost in cooperation between Ankara and Moscow in the transport, agriculture and construction industries.

Russia has been seeking for months to impose its currency in international settlements against the euro and the dollar amid unprecedented Western economic sanctions against Moscow for its invasion of Ukraine.

Turkey, which maintains good ties both Ukraine and Russia and has refused to apply sanctions on Moscow, is facing its own economic crisis as inflation has hit 24-year high of over 80 percent in August and the lira’s continued weakness and global energy and commodity costs are pushing prices in the country higher.

Russia provides roughly a quarter of Turkey's oil imports and accounts for almost half of its natural gas purchases in 2021.

Bloomberg on Friday reported that ​​Erdoğan was seeking even closer financial ties with Moscow.

The Turkish president during a meeting with Putin is slated to ask for discounts on natural gas payments, as well as gas payment in Turkish currency, Bloomberg said.

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