Indian Finance Ministry announces its intention to buy oil from Russia more expensive than the price cap

16.04.2023, India.

The search for the most profitable options to meet India’s oil needs compels it to buy oil from Russia more expensive than the cap of $60 per barrel, the country’s Finance Minister Nirmala Sitharaman said. Economy Times reported this on April 16.

We will explore the possibility of buying Russian oil above the level set by the G7, or close to it. This is necessary to counter the risks to the Indian economy. Otherwise, India will have to pay a price for oil that it cannot afford,” Nirmala Sitharaman said at a briefing after the meeting of G20 finance ministers in Washington.

According to the head of India’s Ministry of Finance, the country is constantly looking for a profitable oil supply at a time when 80% of its oil needs are met by imports. According to Sitharaman, a possible reduction in global oil production is the biggest risk for the Indian economy.

The head of the Indian Ministry of Finance called the biggest threat to the economy an increase in energy prices due to an unexpected reduction in oil production by OPEC+ countries and the consequences of the war in Ukraine.

Note that on March 12, Bloomberg reported that politicians and financiers of the G7 countries persuaded India not to violate the cap imposed by the West on oil prices from Russia.

India is the third largest oil importer in the world. India did not support the cap price of Russian oil imposed by the West. According to Deputy Prime Minister Alexander Novak, in 2022 the supply of Russian oil to India increased 22 times.

Source: Rossa Primavera News Agency