Finance ministers from the world’s seven most advanced economies (G7) agreed on a plan to cap Russian oil prices as part of the latest attempt to cut Moscow’s revenues and force it to end its war on Ukraine, world news agencies reported. .
The agreement was reached during an online meeting today after the group’s leaders said in June they would consider such a move.
In a statement issued by Germany, which is this year’s chair of the G7, the finance ministers said they “confirmed a joint political intent to finalize and implement a comprehensive ban on services providing for the maritime transport of crude oil and petroleum products of Russian origin worldwide scale”.
The provision of such services “will only be permitted if oil and petroleum products are purchased at or below a certain upper price limit set by the broad coalition of countries that adhere to and implement it,” the ministers added.
They did not specify a specific price for the potential limit and did not specify when the G-7 would put the plan into action. “We invite all parties to contribute to the development of the price ceiling and implement this important measure,” the statement added.
“We will continue to respond appropriately by coordinating our actions with the G7 and the international community,” Japanese Finance Minister Shunichi Suzuki said after the meeting, as quoted by Kyodo.
“By committing to finalize and implement a price cap, the G7 will significantly reduce Russia’s main source of funding for its illegal war, while supporting supplies to global energy markets by keeping Russian oil at lower prices,” it said. American Finance Minister Janet Yellen, quoted by the Guardian.
At their meeting in June in Germany, the leaders of the United States, Germany, France, Great Britain, Italy, Canada and Japan agreed to explore the possibility of imposing a ban on the import of Russian oil traded above a certain price level, the Associated Press recalls.
The US has already blocked imports of Russian oil, and the European Union has decided to impose a ban on 90 percent of Russian oil imported by sea, but it will not take effect until the end of the year.