India is finalizing an alternative payment system that will allow it to continue trading with Russia, which has been subjected to a barrage of Western sanctions after its invasion of Ukraine, a local newspaper reported on Sunday. The Indian government is in the midst of finalizing a bank to set up an alternative payment system, which will allow Russia to deposit rubles while India deposits rupees, an official familiar with the matter told Hindustan Times. The official noted that talks are on with representatives of the Reserve Bank of India, the State Bank of India, and Kolkata-based UCO Bank with regards to the payment mechanism. India used the same mechanism to import Iranian oil after the United States imposed sanctions against Iran in 2012 for its nuclear weapons program. At that time, UCO Bank was appointed and anchored a “Vostro account” from an Iranian bank. The government has also established a …