G7 countries to impose price caps on Russian oil

The status of the price caps has not yet been announced, but is expected to be implemented “as a matter of urgency”. Russia has already announced that it will not export oil to countries participating in the initiative.

The website says the oil price cap program is “specifically designed” to reduce Russia’s revenue and ability to finance war. The entire document from G7 finance ministers aims to “limit the impact of Russia’s war on global energy prices. Low and Middle Income Countries”.

The mechanism is based on the introduction of a cap on the price of Russian oil planned by the G7 Prohibition of insuring Russian oil transportation at prices above a set limit. What it will look like, is still unknown.

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