Ukraine hopes oil embargo to halve Russian profit

Ukraine hopes oil embargo to halve Russian profit

Ukrinform
The Ministry of Economy of Ukraine expects that the EU embargo on Russian oil and petroleum products should reduce Russia's profits in this area by at least 50%.

That’s according to Yuliya Svyrydenko, First Deputy Prime Minister, Minister of Economy of Ukraine, who spoke at a briefing on Thursday, an Ukrinform correspondent reports.

"We expect the collapse of profits from oil and gas exports to be at more than 50%, precisely because of the introduction of the EU embargo on oil and petroleum products and the introduction of price restrictions. Oil and gas account for 60% and 40% of federal budget revenues. We expect that Russia's revenues will fall below the critical level of $40 billion per quarter," Svyrydenko said.

Read also: Kuleba reproaches India for buying Russian oil

She expressed hope that against the background of plunging profits, Russia would have to face difficulties in financing the war.

As reported, the EU introduced an embargo on the import of Russian oil to the European market by sea, as well as a price cap of US$60 per barrel for its deliveries to third countries using European vessels or trading services. The cap has been agreed with the countries of the Group of Seven and other EU partners.

While citing and using any materials on the Internet, links to the website ukrinform.net not lower than the first paragraph are mandatory. In addition, citing the translated materials of foreign media outlets is possible only if there is a link to the website ukrinform.net and to the website of a foreign media outlet. Citing and using materials in offline media, mobile apps, Smart TV are allowed only with written permission from Ukrinform. News and publications marked as "Advertisement" and "PR" and articles in the section "Releases" include promoted content, and an advertiser is responsible for the content.

© 2015-2024 Ukrinform. All rights reserved.

Website design Studio Laconica

Extended searchHide extended search
By period:
-