President Vladimir Putin signed a decree Thursday that requires buyers of natural gas from “unfriendly countries” to hold accounts at Gazprombank — Russia’s third-largest bank — and settle contracts in rubles.
“If these payments are not made, we shall deem this as non-performance on the part of the buyers and that will lead to consequences,” Putin said in a televised address. “Nobody gives us anything for free and we’re not about to be charitable,” he added.
Putin had given the Russian central bank and state-owned gas giant Gazprom until Thursday to come up with detailed proposals to switch the payment currency for gas to rubles.
According to the decree, Gazprombank would open accounts on behalf of Western gas buyers, purchase rubles on their behalf and then transfer the cash to Gazprom’s accounts.
— This is a developing story and will be updated.
