Vladimir Putin and Narendra Modi exchanged hugs as India signed a $5bn (£3.8bn) deal to buy a Russian air defence system, despite the threat of sanctions being slapped on New Delhi.

The Russian president and the Indian prime minister discussed nuclear energy, space and economics as Mr Putin visited the Indian capital to close the deal.

Russia and India also made agreements relating to railways, fertilisers and space.

Meanwhile, Moscow vowed to train astronauts for India's first crewed space mission set to begin in 2022.

Image: China also bought Russian S-400 anti-aircraft missile launching systems. File pic

The deals were signed on Friday after the US previously said it would impose sanctions on countries trading with Russia's defence and intelligence sectors.


However, India has requested a waiver from possible US sanctions intended to punish Moscow over Russia's annexation of Crimea and its alleged interference in the 2016 US elections.

But India's chances look bleak despite New Delhi and Washington announcing plans last month for joint military drills next year. They also agreed they would exchange sensitive military information.

Image: The US could now impose sanctions on India

Sanctions on India look likely after Washington chose not to not spare China from sanctions last month after it also bought S-400 surface-to-air missile systems and fighter jets.

Officials confirmed the Russia-India deal after the two leaders failed to mention it during a news conference after their meeting.

The latest developments follow several countries in the West - including the US - accusing Russia of orchestrating cyber attacks on institutions around the world.

Moscow rubbished the claims as its ties with Washington appeared to deteriorate further.

'GRU tries to clean up Russia's own mess'

However, the US appears to have found itself in a tricky position with it seeking to strengthen ties with India to counter China's growing assertiveness - an issue India is growing concerned about too.

India and China had a stand-off over a Himalayan plateau last year after it was claimed by both Beijing and Indian ally Bhutan.

Manoj Joshi, of the Observer Research Foundation think tank, said: "It is also important for India to keep friendly relations with Russians so that they don't completely move into the Chinese camp.

"Also, the fact is that unlike the US, Russian regional interests largely overlap with India's regional policy."