The decree, which includes a clause that allows Putin to waive the ban in special cases, said: “It … comes into force on February 1, 2023 and remains in force until July 1, 2023.”
Crude oil exports will be banned from February 1, but the date for the ban on oil products will be set by the Russian government and could be after February 1.
wide deficit
The price cap, also not seen during the Cold War between the West and the Soviet Union, is aimed at crippling the Russian state coffers and Moscow’s military efforts in Ukraine.
Some analysts have said the cap would not have an immediate impact on the oil revenue Moscow currently earns.
However, Finance Minister Anton Siluanov said on Tuesday that Russia’s budget deficit could exceed the planned 2% of GDP in 2023, with the oil price cap reducing export earnings, an additional fiscal constraint for Moscow. Because it spends heavily on its military operation in Russia. Ukraine.
Russia has been promising to respond officially for weeks, and the decree finally set out largely what officials had already said publicly.
The G7 price cap would allow non-EU countries to continue importing seaborne Russian crude, but it would restrict shipping, insurance and reinsurance companies from handling Russian crude cargoes around the world unless it The price is not being sold below the cap. ,
European Union countries have separately implemented an embargo that prevents them from buying offshore Russian oil.
Russian Ural oil URL-E was trading above $56 a barrel on Tuesday, below the price cap level.
Brent crude oil moved up slightly on the news and was up 1.4% at $85.1 by 1743 GMT.
