Question 1

The USD 100 billion bilateral trade target reflects a balanced, booming export-import relationship between India and Russia.

Accepted Answer

The trade balance heavily favors Russia; it is driven almost entirely by India's massive, opportunistic imports of discounted Russian crude oil, coal, and fertilizers, while Indian exports to Russia remain disproportionately low.

Question 2

India and Russia conduct their bilateral trade freely using the US Dollar.

Accepted Answer

Because Russian banks are cut off from the SWIFT system by Western sanctions, the two nations are actively building a Rupee-Rouble Trade Mechanism, heavily relying on Special Rupee Vostro Accounts (SRVAs) to bypass the US Dollar.

Question 3

Consider the following statements regarding the 23rd India-Russia Annual Bilateral Summit (2025):
1. The 'Programme for the Development of Strategic Areas of Economic Cooperation up to 2030' sets a bilateral trade target of USD 100 billion.
2. Russia became a founding member of the International Big Cat Alliance (IBCA) during its initial launch in 2023.
3. The Central Bank of Russia opened a representative office in Mumbai to institutionalize the Rupee-Rouble cross-border payment system.

Accepted Answer

(b) Only two — Statement 1 is correct; the 2030 economic roadmap targets USD 100 billion in trade. Statement 3 is correct; the Central Bank of Russia opened its Mumbai office in December 2025 to facilitate non-dollar trade. Statement 2 is incorrect; while India launched the IBCA in 2023, Russia officially joined the alliance during the 23rd Summit in December 2025, not as a founding member.

Question 4

Match List I (Initiative/Entity in India-Russia relations) with List II (Key Context):

List I
A. Temporary Labour Activity Agreement
B. INSTC
C. Vostro Accounts
D. IBCA

List II
1. Facilitates the Rupee-Rouble trade mechanism bypassing SWIFT
2. Formalizes legal pathways for Indian workers to mitigate demographic shortages
3. Global conservation initiative joined by Russia in 2025
4. Multi-modal freight route connecting Mumbai to St. Petersburg via Iran

Accepted Answer

(a) A-2, B-4, C-1, D-3 — The Temporary Labour Activity Agreement (A) was signed in 2025 to provide safe pathways for Indian workers amid Russian labour shortages (2). The International North-South Transport Corridor (B) is the multi-modal route via Iran (4). Special Rupee Vostro Accounts (C) are the core banking mechanism for Rupee-Rouble trade (1). The IBCA (D) is the conservation alliance Russia joined in December 2025 (3).

Question 5

Assertion (A): During the 23rd Annual Bilateral Summit, India and Russia formalized the 'Temporary Labour Activity Agreement' to promote organized Indian migration.
Reason (R): Russia is experiencing an acute domestic labour shortage exacerbated by its ongoing war mobilization and demographic decline.

Accepted Answer

(a) Both A and R are correct and R is the correct explanation of A. — Assertion A is true as the Temporary Labour Activity Agreement was a landmark pact signed at the December 2025 summit. Reason R is also true and directly explains A: Russia has a severe deficit of skilled workers due to its military mobilization and long-term population decline, making the organized intake of Indian labor a strategic necessity for Moscow.

Sri Lankan PM Harini Amarasuriya's Official Visit to India