Gas keeps flowing to Europe as the Roubles-for-Gas deadline draws near

Gas from Russia continued to flow to Europe on April 1, despite President Putin's order for foreign customers to start paying in roubles or risk being cut off.

Putin signed a decree on Thursday regarding trade agreements with countries that he deems to be "unfriendly", including all members of the European Union.

Putin said in a televised address that foreigners must open rouble accounts at Russian banks to purchase gas from Russia. We will consider it a failure of the buyer to perform its obligations if these payments are not made.

Gazprombank, which is not exposed to war-related sanctions, can accept foreign currencies from countries subject to the rouble-for-gas requirement.

These payments will be converted into roubles by Gazprombank. European gas buyers are able to continue paying for Russian gas in euros or dollars through this arrangement.

1st April 2022