Russia signs major oil deal with India to supply discounted crude for a decade

Russia has signed a significant oil deal with India, agreeing to supply nearly 500,000 barrels of discounted oil daily for the next ten years. This arrangement is valued at $13 billion annually and represents about 0.5% of global oil supply. The deal follows a visit by India's Defense Minister to Moscow and is part of Russia's strategy to strengthen ties with South Asia, reducing reliance on China. This agreement is expected to provide stable revenue for Russia while supporting India's economic growth. Despite concerns about potential friction with OPEC+ members, Russia's oil supply to India still leaves room for Gulf producers to meet demand. The deal marks a shift in Russia's energy partnerships, favoring India over China.