“Any actions to impose a price cap will lead to a deficit on (initiating countries’) own markets and will increase price volatility,” Nikolai Shulginov said.

In reaction to Moscow’s invasion of Ukraine, the finance ministers of the United States, Germany, Italy, Japan, Great Britain, France, and Canada approved last week the concept of regulating the price of Russian petroleum. This would reduce Moscow’s income.

According to the International Energy Agency, before sending tens of thousands of troops into Ukraine in February, about half of Russia’s oil and petroleum product exports went to Europe.

Meanwhile, the G7 proposal to set a cap on the price of Russian oil prompted the Kremlin to threaten the West with retaliation.

During an interaction with reporters, Kremlin spokesman Dmitry Peskov said, “There can only be retaliatory measures.”

The cap was approved by the Group of Seven finance ministers recently in an effort to put pressure on Russia over its activities in Ukraine, but Moscow has pledged to stop selling to nations who are implementing it.

Dmitry Peskov stated last week that Russia was researching the economic effects of capping the price of its oil exports and that such a move would cause instability in the world oil market.

The cap was necessary, according to a senior economic advisor to Ukrainian President Volodymyr Zelensky, who applauded the development.

The post Responding to oil price caps, Russia to send more to Asia appeared first on International Finance.

On Monday, the foreign secretary gave a speech during the Ukraine reconstruction conference in Lugano, Switzerland. Most of Ukraine’s top political representatives were also present at the meeting.

An estimated 120,000 Ukrainian homes have been ravaged by war and require billions of dollars for restoration and integration with the EU.

Lizz said the initiative might need legislation but not necessarily so. She is working with the Home Office and the Treasury to execute the proposition and get the specifics of it right.

The seized funds could either be reparations to the Ukrainian state or directly transferred to affected individuals. The UK can also freeze Russian assets under the Economic Crime Act for 56 days and stretch it for another 56 days.

The UK is positioning itself as Ukraine’s top ally for the recovery process and says it has already handed $1.5 billion through multilateral loan guarantees and over £100 million in bilateral support.

Truss said Ukraine’s recovery would be a symbolic victory of democracy over autocracy.

According to the Foreign Office, humanitarian assistance and demining initiatives will aid in the reconstruction of villages, towns, and cities.

In the long run, the UK will contribute its economic and financial know-how to help Ukraine become a hub for international business, investment, and cutting-edge technology.

In response to President Volodymyr Zelensky’s request, the UK will be working on the restoration of the city of Kyiv and the surrounding area.

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