El Salvador has suggested that Russia consider using cryptocurrencies for trade transactions, said Alexander Ilyukhin, first secretary of the Russian Embassy in Nicaragua and head of the office in El Salvador. The main difficulty in settlements between the countries is due to the fact that the official currency of El Salvador is the US dollar, as well as Western pressure on the country.
Ilyukhin noted that El Salvador was under pressure from Ukraine, but attempts by the Ukrainian side to persuade El Salvador to support Kiev had not been successful. So far, El Salvador has also remained neutral on the Ukrainian conflict and has not joined the anti-Russian sanctions.
In the sphere of economic relations, trade turnover between Russia and El Salvador amounted to $4-6 million in 2018, increased to $8 million in 2019, and reached $20-22 million in 2020. Before the special military operation, the figure approached $100 million. However, the pandemic and the blockade of international ties have had a negative impact on trade. Russian exports to El Salvador remained at the same level, while imports dropped to almost zero, Alexander Ilyukhin noted in an interview with Izvestia.
El Salvador, which became the first country to adopt bitcoin as an official means of payment, has offered to use the cryptocurrency for settlements with Russia. However, despite this, the possibility of creating a bank to conduct transactions in various global currencies such as the yuan, the Indian rupee and the Russian ruble remains questionable due to potential interference from Western countries, Ilyukhin said.
In addition, in July 2023, Laura Richardson, head of the U.S. Southern Command, proposed developing a “Marshall Plan” for Latin America to neutralize the influence of Russia and China in the region.
At the same time, El Salvador is considering the possibility of joining BRICS and has already shown interest in this association, as well as in economic cooperation with China and India. The issue of opening direct air service between Russia and El Salvador remains relevant, but faces difficulties due to anti-Russian sanctions.
Regarding the use of Mir cards in El Salvador, Ilyukhin noted that this issue requires additional steps and may face resistance from U.S. banks. At the same time, the most promising option for Russian tourists may be the use of cryptocurrencies for settlements.
Earlier, Russia received a letter from the authorities of Malaysia with an application letter to join BRICS. Also, an American economist condemned the blocking of Russian assets by the United States, calling it illegal.