Oreshkin: tougher sanctions against Iran push oil prices up
Tightening of sanctions against Iran, one of the biggest oil producers, has an impact on the balance on the commodities market, and this can lead to growth of oil prices, Russia's Economic Development Minister Maxim Oreshkin said.
The Economic Development Minister recalled that Iran is "a major producer of crude oil in the world." ,"Any sanction stories as they tighten – they affect the balance that we see on the global oil market," he noted.
"From the point of view of energy markets, great restrictions for Iran are a story that in the short term, in the medium term, pushes oil prices up, not down. This effect exists," the Prime news agency cited Oreshkin as saying.
He also stressed that for Russia, an increase of oil prices has currently a smaller effect than five to seven years ago.