On Saturday, President Biden in Jeddah met with Emirates President Muhammad bin Zayd and invited him to the White House. But today another aspect of aid given by the Emirates to Russia to evade Western sanctions becomes clear
It turns out that the Russians are demanding from India that it sells oil that they be paid in the Emirate currency, called the "Dirham". The Indians reportedly transfer the dollar payment to a bank in Abu Dhabi, where it is exchanged for dirhams and transferred to the Russian company Rosneft.
Why do Russians need billions of dirhams? Good question. The Emirates has become a refuge for Russian oligarchs from sanctions and payment in dirham increases, among other things, the chances of increasing Russian investment in Dubai. In addition, the income in dirham and not in the dollar was intended for Russia to curb the strengthening of the ruble against the dollar.
Will the West impose sanctions on the UAE banking sector for helping Russia evade sanctions? Probably not. Ben Zayed is accepted in the West and today he is signing big deals in Paris as part of his official visit there.