The United States and its allies in the wealthy Group of Seven Nations aim to prevent Russia from profiting from oil after the invasion of Ukraine on February 24, while ensuring that most of its oil continues to flow to world markets. of Russia.
The G7 nations plan to limit the prices of oil shipments by sea from December 5, with a second limit for petroleum products from February 5.
India, the world’s third largest oil importer and traditional Russian ally, has not explicitly condemned what Russia calls its “special military operation” in Ukraine.
India imports 85% of its crude oil needs and has established itself as Russia’s second largest customer after China, taking advantage of discounted Russian oil prices shunned by some Western buyers.
“If they want to use Western financial services such as insurance, they will have price limits on their purchases,” Ms. Yellen said in a report from Moneycontrol, citing the Press Trust of India (PTI).
“But even if they use other financial services, we believe the price cap will give them leverage to negotiate good discounts on global markets. We hope India benefits from this program.”
Ms. Yellen will travel to India on Friday to attend a meeting of the economic and financial partnership between the United States and India. She is expected to meet with Finance Minister Nirmala Sitharaman on India’s assumption of the G20 presidency, the US Treasury said.
On Saturday he will then travel to the Indonesian island of Bali for a joint meeting of G20 finance and health ministers before joining President Joe Biden at the G20 summit in the city on 15 and 16 November.
