The World Bank warns about applying a price ceiling on the purchase of Russian oil

According to the Fars International Economic Group, the World Bank announced the proposed plan of the Group of Seven to apply a price cap on the purchase of oil Russia It can only be implemented if major emerging markets and developing countries also join it.

In the outlook of the oil market published yesterday, this bank discussed the risks related to this issue and wrote, the risk of oil price increase is affected by issues related to supply; Among these effects, we can mention how much Russian exports are affected by new trade measures.

According to the report, “the proposed G7 ceiling could affect the flow of Russian oil, but this is an untested mechanism and requires the participation of major emerging markets and developing countries to achieve this goal.”

As trade routes are disrupted, a significant disruption to Russian exports could occur in the short term, but “as is often the case with other sanctions, market players will find ways around the sanctions,” the report added. “

The Group of Seven industrialized countries, the United States, Canada, France, Germany, Italy, England and Japan, agreed last month to set a ceiling for oil sales to Russia in order to reduce Russia’s revenues. The figure of this price ceiling has not yet been determined.

According to this plan, banking, insurance, and shipping companies are prohibited from providing services to Russian companies that sell oil above this figure. On the other hand, on December 5, AKhairin The deadline for European countries to ban the import of Russian oil by sea is now.

On the other hand, a US Treasury Department official said that despite this price ceiling, Russia still sells 80-90% of its oil.

Victor BirolThe head of the International Energy Agency also said yesterday: “I think this situation (continuation of Russian exports) is good because the world currently still needs Russian oil to enter the market.” “80 to 90 percent is good to meet demand.”

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