Great Britain appealed to the G7 countries to agree to lower the maximum price for Russian oil in order to increase pressure on Vladimir Putin to end the war in Ukraine. About this informs Bloomberg.
“Pressure on the Russian war machine is needed now more than ever. Putin was unable to sincerely respond to Zelensky’s proposal for a direct meeting and attempts to mediate in ending the illegal and brutal war.” – says the statement of the Ministry of Finance of Great Britain.
Chancellor of the Treasury Rachel Reeves, who led the discussion of the Ukrainian issue during the meeting of G7 finance ministers in Canada, emphasized that now is the right time “to reduce the upper limit of the price of Russian oil at $60.” She also “called on the allies of the Group of Seven to be united to ensure a just and lasting peace.”
The G7 countries are considering the possibility of revising the current price cap to make it even more difficult for Russia to finance the war. Currently, the limit is $60 per barrel: Western companies can insure and transport Russian oil only if it is sold at a price below this threshold.
In response to US and EU restrictions and embargoes on Russian oil imports, Moscow has created a shadow fleet of tankers with unknown owners and insurers. These vessels transport oil mainly to Asia, which allows Russia to bypass sanctions restrictions.
Initially, the limit price was supposed to reduce Russia’s income from the sale of oil and at the same time prevent a sharp jump in world prices. However, in the conditions of the expected surplus of oil in 2025 and a decrease in its price, Ukraine’s partners are ready for tougher steps, the publication notes.
