Russia Bans Oil Sales to Countries With Price Caps

Starting February 1, Russia is banning oil exports (FT) to countries that have imposed a price ceiling on Russian oil. The price cap of $60 per barrel was adopted earlier this month by Group of Seven (G7) countries, the European Union, and Australia in an effort to deny Russia of revenue amid its war in Ukraine. Moscow said it might grant exemptions to the ban, a less stringent response than others that were reportedly considered. Russia’s main crude oil product is currently selling (Bloomberg) on international markets for below the cap.

In its war in Ukraine, Russia has recently focused missile attacks (NYT) on the city of Kherson, which Ukrainian forces retook last month. At least ten people were killed in attacks on the city on Saturday, Ukrainian officials said.

Analysis

“The decree is vague and provides [Russian President Vladimir] Putin with options to keep exports going to selected countries complying with the cap,” Bruegel’s Simone Tagliapietra tells the Wall Street Journal. “All in all, this is a sign that Russia is in a vulnerable situation, needs oil revenues and therefore cannot take drastic retaliation measures.”

“It’s still too early to fully assess the impact of the G7 oil price cap and the EU’s ban on Russian crude imports which came into effect on 5th December, but initial signs suggest that Russia’s economy is starting to feel the pinch,” Nicholas Farr of Capital Economics tells CNBC.

Pacific Rim

Hong Kong Drops COVID-19 Requirements on Testing, Gatherings

Starting tomorrow, Hong Kong will no longer require visitors (SCMP) to take PCR diagnostic tests upon arrival and will end a twelve-person limit on public gatherings.

Japan: Reconstruction Minister Akiba Kenya stepped down amid allegations over misuse of public funds, becoming the fourth minister in around two months to leave his post (Kyodo).

South and Central Asia

At Least Twenty-Six Rohingya Refugees Die in Sea Voyage

An Amnesty International director criticized the lack of a regional response (AP) to the ongoing outflow of refugees by boat toward Indonesia and Malaysia. Nearly two hundred refugees have died in such journeys this year, according to the United Nations’ refugee agency.

India: Police said they killed four suspected militants (TNN) outside the city of Jammu in India-administered Kashmir. The encounter occurred after officers stopped a truck on a highway.

Middle East and North Africa

Netanyahu Government Looks to Expand West Bank Settlements

At the top of a list of priorities the incoming government released today is advancing and developing settlements (AP) in the West Bank.

Israel/Turkey: Israel reinstated (Times of Israel) its ambassador to Turkey after more than four years of the position being vacant.

Sub-Saharan Africa

More Than Fifty People Killed in South Sudan Fighting

The UN mission in the country said it is monitoring heightened tensions (Sudan Tribune) in the central state of Jonglei following the outbreak of intercommunal violence.

Ethiopia: Ethiopia’s national airline announced that it will resume commercial flights (AFP) to the Tigray region after an eighteen-month pause.

For Foreign Affairs, Jeffrey Feltman discusses Ethiopia’s hard road to peace.

Europe

Kosovo Closes Main Border Crossing to Serbia

Ongoing protests by the Serb minority in Kosovo had prompted Serbia to put its military on high alert (FT) yesterday.

Americas

Spain Appoints Ambassador to Venezuela After Two-Year Vacancy

Madrid had cited a lack of free elections in Venezuela when it vacated the position. Spain is now supporting talks (Reuters) between President Nicolás Maduro’s government and the Venezuelan opposition.

This video looks at the prospects for a thaw in U.S.-Venezuela relations.

Brazil: Brazil’s capital will be secured by its entire police force (AFP) for President-Elect Luiz Inácio Lula da Silva’s inauguration on Sunday, following an alleged plot to set off explosives near Brasília’s airport.

United States

Supreme Court Says Title 42 Will Remain in Place for Now

The pandemic-era rule allows quick expulsions of migrants (NYT) at the border, including those who might otherwise qualify for asylum. The Joe Biden administration has attempted to end the policy but has been halted by legal challenges.

For the Renewing America initiative, CFR’s Edward Alden and Tess Turner write that immigration reform could help the U.S. economy.

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