G7 finance ministers agree to price cap on Russian oil | News | DW

G7 finance ministers gathered for a summit in Elmau, Germany Friday said they agreed to implement price caps on Russian oil to prevent Moscow from profiting from its war against Ukraine.

The initial price cap will be calculated and adjusted accordingly, G7 finance ministers said.

US Treasury Secretary Janet Yellen said in a statement the price cap deal will help deliver a major blow to Russia’s finances and hinder its ability in Ukraine.

The price cap helps “our dual goals of putting downward pressure on global energy prices while denying Putin revenue to fund his brutal war in Ukraine,” the statement said.

What did G7 ministers say?

The German Finance Ministry released a joint statement noting that “today we confirm our joint political intention to finalise and implement a comprehensive prohibition of services which enable maritime transportation of Russian-origin crude oil and petroleum products globally.”

The statement concluded, “the provision of such services would only be allowed if the oil and petroleum products are purchased at or below a price (‘the price cap’) determined by the broad coalition of countries adhering to and implementing the price cap.”

The G7 ministers said they planned “to align implementation with the timeline of related measures within the EU´s sixth sanctions package.”

Japan’s Finance Minister Shunichi Suzuki said he welcomed the price cap and wanted the agreement implemented soon. Suzuki also told reporters that it could help offset…