Russian seaborne oil’s price ceiling at $60 per barrel, according to Ukrainian President Volodymyr Zelenskyy, is not tough enough to pinch the Russian economy that supports its invasion of Ukraine.
Australia, Britain, Canada, Japan, the United States, and the European Union all agreed to the price restriction, but the Ukrainian leader demanded a far lower one on Saturday.
The rationale is clear, he declared.
“The Russian government will get roughly $100 billion a year if the price cap for Russian oil is $60 rather than, for instance, $30, which Poland and the Baltic nations talked about.”
He explained that “this money” will be used to support other terrorist governments and groups in addition to the war. Additionally, this money will be used to further destabilize the same nations that are currently attempting to postpone making important decisions.
The West thinks that such a large price drop might reduce the price of Russian oil output.
According to John Kirby, coordinator for strategic communications at the US National Security Council, “we think the figure at $60 a barrel is reasonable” to strike a compromise between preventing Moscow from profiting and guaranteeing supply, adding that the ceiling may be increased.
