(Agence Ecofin) – The sharp rise in oil prices since the invasion of Ukraine by Russia is affecting consumers’ purchasing power and threatening economic stability.
The International Energy Agency (IEA) announced on Thursday April 7 that its member countries have agreed to release 60 million barrels of oil from their strategic stocks, in order to control the shortage. An operation which brings to 120 million barrels the quantity of oil supplied by the IEA, coming from the strategic reserves, since the beginning of the war in Ukraine.
“The unprecedented decision to launch two such emergency operations just one month apart and on a larger scale, reflects the determination of member countries to protect the global economy from the social and economic impacts of a shock. tanker, following Russia’s aggression against Ukraine”said IEA Executive Director Fatih Birol.
The measure is meant to dampen soaring oil prices and reduce the price of gasoline at the pump.
At the start of Russia’s invasion of Ukraine on February 24, IEA countries held 1.5 billion barrels of emergency oil in their public reserves and an additional 575 million barrels under obligation. According to the IEA, the release of 120 million barrels by member countries represents about 9% of the total emergency reserves.