Russia plays a significant role in the global economy, and its trade relationships with the Middle East and West Asia have grown substantially over the years. Russia`s economic and banking systems are largely centralized, with state influence in key sectors, including energy, defense, and finance. The Central Bank of Russia regulates the country’s financial and monetary policy, setting interest rates and controlling inflation. The ruble (RUB) is the official currency, and Russia’s banking system includes a mix of state-controlled banks (such as Sberbank and VTB) and private institutions, but international sanctions have placed restrictions on Russia`s banking operations with the West. As a result, Russia has sought to increase its economic and financial collaboration with non-Western countries, especially in regions like the Middle East and Asia.

Trade relations between Russia and Middle Eastern and West Asian countries have strengthened due to shared strategic interests, particularly in energy, military cooperation, and agriculture. Russia is one of the world’s largest exporters of natural gas and oil, and many countries in the Middle East are major importers of Russian energy resources. For example, countries like Turkey and Iran are heavily reliant on Russian energy supplies. Additionally, Russia imports goods such as fruits, vegetables, and industrial products from these countries. Moscow has also been working to diversify its trade portfolio, extending cooperation in areas like technology, agriculture, and defense. Russia is a key arms supplier to countries like Iran, Syria, and Egypt, further solidifying its economic ties in the region.

The economic sanctions imposed on Russia by the U.S. and European Union since 2014, especially after the Ukraine conflict in 2022, have prompted Russia to turn toward Middle Eastern and Asian markets to reduce reliance on Western economies. Russia has actively pursued trade agreements and energy deals with countries like Saudi Arabia, the UAE, and Qatar. This pivot has also resulted in increased financial cooperation, including moves to reduce the use of the U.S. dollar in bilateral trade, with efforts to use local currencies or alternative payment systems like Russia’s SPFS (System for Transfer of Financial Messages) as an alternative to SWIFT. Such arrangements are particularly important for countries like Iran, which is also under heavy sanctions and has found a cooperative partner in Russia for both trade and financial transactions.

In the broader context of economic and trade exchanges, Russia’s role as a food exporter has also grown. Following its own food import restrictions on Western goods, Russia has bolstered its agricultural sector and become a major supplier of wheat to countries like Egypt, Turkey, and several Gulf nations. Moreover, Russian exports of fertilizers, industrial machinery, and steel have been in demand across West Asia. The evolving geopolitical landscape has further strengthened trade and investment between Russia and countries in the Middle East and West Asia, as both seek alternatives to Western-dominated markets and financial systems.

These economic and trade relationships are critical to both sides, providing Russia with alternative markets amid sanctions, and offering Middle Eastern countries access to essential resources such as energy and military equipment. This dynamic has the potential to continue expanding, particularly in areas such as infrastructure development, energy exploration, and digital innovation.