BEIJING – China has rejected Indian proposal over bilateral trade inrespective currencies.

China has not accepted India’s proposal to carry out bilateral trade inlocal currencies which was aimed at bridging the ballooning trade deficitwith the neighbouring country, an official said.

India’s exports to China stood at only USD 13.4 billion, imports aggregatedto 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 forrenminbi-rupee trade to boost its exports and tackle the widening tradedeficit concern.

“They have not accepted the proposal,” the official said.The issue wasdiscussed in an inter-ministerial meeting in October. In the meeting, itwas suggested to the Reserve Bank of India and the Department of EconomicAffairs would look at the possibility of exploring renminbi-rupee tradewith China.