In a blow to Delhi, China rejects Indian proposal
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BEIJING - China has rejected Indian proposal over bilateral trade in respective currencies.
China has not accepted India's proposal to carry out bilateral trade in local currencies which was aimed at bridging the ballooning trade deficit with the neighbouring country, an official said.
India's exports to China stood at only USD 13.4 billion, imports aggregated to USD 76.4 billion in 2017-18, leaving a trade deficit of USD 63 billion.
It was USD 51.11 billion in 2016-17.India had suggested China for renminbi-rupee trade to boost its exports and tackle the widening trade deficit concern.
"They have not accepted the proposal," the official said.The issue was discussed in an inter-ministerial meeting in October. In the meeting, it was suggested to the Reserve Bank of India and the Department of Economic Affairs would look at the possibility of exploring renminbi-rupee trade with China.
