Alrosa Testing Payments in Euros

RAPAPORT... Alrosa has begun accepting payments in euros, as it continues to test the waters with currenciesother than dollars. The move, which currently extends to only one of its Chinese clients, is an attempt to avoid theconsequences of future US sanctions on the Russian miner, according the SouthChina Morning Post. That publication identified the client as Hong Kong-based jewelryretailer Chow Sang Sang. Alrosa started the pilot program last year,and is currently evaluating the results, a spokesperson for the company told RapaportNews. It is also testing payments in Russian rubles for customers in Indiaand China, as the transactions are faster and simpler than with dollars, itsaid in August. The company declined to confirm whether themove was connected to potential US sanctions, but said it was working on severalprojects to avoid repercussions should it become a target. Alrosa is notcurrently subject to any US trading restrictions, but President Donald Trump'sadministration has placed sanctions on a range of Russian institutions andindividuals it considers a threat to American security. "The solution of this issue does not dependon us, and we understand that this situation is quite unpredictable," an Alrosaspokesperson told Rapaport News Monday. "Therefore, we havedeveloped several scenarios in advance in case of the introduction of anyrestrictions to the company's activities." The company has increased its focus on theChinese market in recent years, and currently has six long-term Chineseclients, including Chow Tai Fook, the biggest Chinese jewelry retailer, and ChowSang Sang, which joined the client list at the start of this year.Image: Rough diamonds (Alrosa)