Russia implements 6-month prohibition on gasoline exports to keep prices stable

(MENAFN) In a move aimed at stabilizing prices amidst increasing consumer and farmer demand, Russia has announced a six-month ban on gasoline exports, effective from March 1. This decision, aimed at averting potential shortages and providing an opportunity to maintain refineries, reflects the government's efforts to ensure stability in the world's second-largest oil exporter.

The ban was first disclosed by the Russian Business Council and later confirmed by a spokesman for Russian Deputy Prime Minister Alexander Novak, who serves as President Vladimir Putin's assistant for the energy sector. According to reports, Prime Minister Mikhail Mishustin approved the ban proposed by Novak in a letter dated February 21.

Novak's proposal emphasized the need to address excess demand for petroleum products by implementing measures to stabilize prices in the local market. Given that Russia's exports of oil and petroleum products constitute a significant portion of its total exports and serve as a major source of foreign currency revenues for the economy, maintaining stability in this sector is crucial.

The Kremlin's collaboration with Saudi Arabia, the world's largest oil exporter, underscores broader efforts within the OPEC+ group to manage global oil prices. The group, which includes the Organization of the Petroleum Exporting Countries and its main allies, is focused on coordinating production levels to support price levels, reflecting the interconnected nature of the global oil market and the importance of cooperation among major oil-producing nations.

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