India’s $13 Billion Russian Oil Deal Defies Western Sanctions
Rosneft and Reliance Industries have signed a $13 billion annual oil deal, undermining Western sanctions against Russia. The 10-year agreement supplies 500,000 barrels of oil daily, circumventing efforts to curb Russia’s economy. This deal highlights the effectiveness of Russia’s strategy to exploit sanctions loopholes, as evidenced by increased Indian oil imports and subsequent EU re-exports. Despite economic strain on Russia, including high inflation and a weakened ruble, the deal underscores the challenges faced by the G7 in enforcing its price cap on Russian oil.
John Q. Hosedrinker