Germany to continue paying for Russian gas in euros, dollars

Germany will continue paying for Russian gas in euros or dollars, despite Russian president Vladimir Putin's recent announcement that "unfriendly" countries would have to start settling their bills in rubles.

Putin told German chancellor Olaf Scholz in a phone call that nothing would change for European buyers and payments would be made in euros and transferred to Gazprombank, which will convert them into rubles, a German government spokesman told Reuters on March 30.

Germany and the other members of the G7 group have rejected Moscow's demand for ruble payments. Russia's statements on the issue are not clear, German economy minister Robert Habeck told ZDF television on March 30. He said Russia had not withdrawn its threat to halt gas supplies if they were not paid for in rubles, but indicated Moscow was seeking a slower transition to the Russian currency.

Kremlin spokesman Dmitry Peskov confirmed this on March 30, saying the switch to rubles would be a "gradual process" rather than immediate.