Moscow, Mar 22 (IANS): Russia is ready to increase settlements in yuan in its foreign trade, President Vladimir Putin said during talks with his Chinese counterpart Xi Jinping.

"We are for the use of Chinese yuan in settlements between Russia and the countries of Asia, Africa, and Latin America. I am sure that these forms of settlements in yuan will be developed between Russian partners and their counterparts in third countries," RT News quoted Putin as saying.

Two thirds of current trade between Moscow and Beijing is carried out in national currencies -- the yuan and the ruble, the Russian President noted.

China's trade with Russia hit a record high in 2022, growing by nearly a third amid Western sanctions against Moscow.

Bilateral trade is on pace to hit over $200 billion this year, RT reported.

The latest data from the Bank of Russia shows the yuan has become a major player in the Moscow's foreign trade, with its share in the country's import settlements jumping to 23 per cent by the end of last year from only 4 per cent in January 2022.

The yuan's share in export settlements also surged, from 0.5 per cent to 16 per cent.

"It is important that national currencies are increasingly used in mutual trade. This practice should be further encouraged, and the mutual presence of financial and banking structures in the markets of our countries should be expanded," Putin added.