Moscow, 28 December 2022 (TDI): In connection with the ban imposed by the US & other foreign countries on Russia as a result of the war between them & Ukraine, President Vladimir Putin has banned the sale of oil & oil products to a foreign company.

Going further, he stated that the band also affects individuals if contracts include the use of a price cap mechanism directly or indirectly.

The price which was agreed upon by the G7 group of nations, Australia, and the EU came into force on the 5 of December this year. Per the agreement, they are to pay $60 per barrel the price cap.

But Russia has resisted this price cap making it a presidential decree that will come into effect as soon as possible. It was more so when most of the Western countries impose severe sanctions on Russia for invading Ukraine.

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The President also indicated that “special permission” could be given to certain countries that fall under the ban. This means certain countries could be permitted to cross the limits of the ban.

The price cap was implemented by the G7 in other to weaken Russia’s oil power and to be able to stop them from financing their war against Ukraine.

Although the demand for Russia’s oil fell significantly due to the Western countries refusing to patronize their product, Russia has also indicated that its oil sector has been booming due to the spike in price & the demand from China & India.

Russia’s Finance Minister, Anton Siluanov earlier on said, Russia’s budget deficit could be wider than planned. Indicating that, the planned 2% of GDP for 2023 with the oil price cap squeezing export income.

The ban has been described by many as unfortunate due to the current global economic challenges countries are currently facing.

The President has many times affirmed the decision and insisted it will not change anytime so as far as they are still been sanctioned.