The European Union’s top diplomat Kaja Kallas said Ukraine’s allies should work toward lowering the price cap on Russian oil in order to deprive the Kremlin of revenue.
“I’m really pushing for this to be lowered because it has a clear effect,” Kallas said Tuesday in an interview with Bloomberg Television’s Oliver Crook. “Russia is struggling because their national fund is depleted and they don’t get the same revenues that they did from oil and gas. But there is still room that we can use. Definitely countries need to discuss that.”
Group of Seven nations are exploring ways to toughen the price cap on Russian oil as they seek to better target Moscow’s ability to fund its war against Ukraine, Bloomberg reported last month. Options under consideration range from essentially replacing the mechanism with a full ban on handling Russian crude to lowering the price threshold from the current $60 to about $40, although people familiar with discussions said there’s no consensus yet on how to move forward.
source: by Andrea Palasciano for Bloomberg