India may feel oil pinch as Russia looks to lower crude discount to $20/bbl

The finance ministry of Russia is planning to cut the discount to $20 per barrel from $25 that it presently uses to decide taxes on the country’s crude oil exports, Reuters reported citing the Finance Minister Anton Siluanov on Tuesday.

The Kremlin had to change the way it taxes oil sales due to several factors including western sanctions over Russia’s invasion of Ukraine. The $60 a barrel price cap on Russian crude exports and the European Union’s import ban are also to be duly noted.