.jpg)
5 hours ago
1
Article content
(Bloomberg) — The UK urged its Group of Seven allies to agree a cut to the price cap on Russian oil, saying the move is necessary to put further pressure on President Vladimir Putin to end Russia’s war in Ukraine.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
SUBSCRIBE TO UNLOCK MORE ARTICLES
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account.
- Share your thoughts and join the conversation in the comments.
- Enjoy additional articles per month.
- Get email updates from your favourite authors.
THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account
- Share your thoughts and join the conversation in the comments
- Enjoy additional articles per month
- Get email updates from your favourite authors
Sign In or Create an Account
or
Article content
Article content
“Pressure on Russia’s war machine is needed now more than ever,” the UK’s Treasury said in a statement on Wednesday, after Chancellor of the Exchequer Rachel Reeves chaired a session on Ukraine at the G7 finance ministers’ meeting in Banff, Canada. “Putin has failed to engage in good faith with proposals from Zelenskiy to meet directly and attempts to broker a ceasefire from his illegal and brutal war.”
Article content
Article content
The G7 countries, which comprise the UK, US, Germany, France, Italy, Canada, and Japan, have been exploring ways to toughen the price cap to better degrade Moscow’s ability to fund its war in Ukraine. Under the current terms of the price cap, which is set at $60, western operators can insure and transport oil from Russia only when it’s purchased below the price threshold.
Article content
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Article content
At the G7 meeting on Wednesday, Reeves stated “an ambition to move quickly in lowering the $60 price cap on Russian crude oil at this opportune time,” according to the UK statement. She also “called on G7 allies to be united in their work to ensure a just and lasting peace is secured,” the statement said.
Article content
Russia has responded to the price cap and a wider US and EU embargo on most Russian oil imports by using a covert fleet of tankers, often operating with unknown insurers or owners, which move its crude to new markets, especially in Asia. This shadow fleet has helped Russia work around the restrictions.
Article content
It remains to be seen whether the G7 will agree to a reduced oil price cap at the Banff meeting. France’s finance chief Eric Lombard told Bloomberg that the proposal is one of the issues on the table, but he declined to comment further as the package is still being discussed.
Article content
The price cap was initially designed to limit the amount of money Russia makes from its oil sales while keeping global oil prices from skyrocketing. With prices for oil slipping amid forecasts of a global surplus in 2025, Ukraine’s allies are open to taking more aggressive action, Bloomberg previously reported.
Article content
—With assistance from William Horobin.
Article content
English (US)