(OTTAWA) The United States is talking with its allies to further restrict Russia’s oil revenues by capping the price of its crude oil, US Treasury Secretary Janet Yellen said Monday during a visit to Canada.
Posted at 7:35 p.m.
“We continue to have productive conversations with our partners and allies around the world on how to further restrict Russia’s energy revenues, while avoiding collateral effects on the global economy,” said Mr.me Yellen at a press conference.
“We are talking about price caps or a price exception that would broaden and tighten recent and proposed energy restrictions” imposed by the United States and its allies, “which would lower the price of Russian oil and contract revenues of Putin while allowing more oil to reach the global market,” she explained.
A price cap “would prevent collateral effects on low-income and developing countries struggling with high food and energy costs,” she said.
Mme Yellen traveled to Canada to strategize with local Deputy Prime Minister Chrystia Freeland on how the two countries will continue to tackle the Ukraine crisis, tackle runaway inflation, strengthen supply chains supply and secure critical minerals.
Both agreed that managing inflation was primarily a matter for central banks, but said governments could eventually adopt targeted measures to relieve Americans and Canadians facing purchasing power problems, particularly on the food and fuel.