U.S. Seeks New Sanctions on Russia's Oil Revenue

WASHINGTON (Reuters) – The United States is continuing to look for creative ways to reduce Russia's oil revenue, as lower global demand for oil creates an opportunity for more sanctions, Treasury Secretary Janet Yellen said on Wednesday.

The U.S. has been tightening sanctions on Russia over the Ukraine war. Yellen noted that Russia has invested significantly in its fleet of ships to avoid a Western oil price cap during an interview with Bloomberg Television.

Yellen emphasized that Washington's primary goal has been to impair Russia's ability to continue its military actions by focusing on disrupting its oil revenue.

"Now what's unusual about this moment is that the oil market seems to be well supplied," she stated. "Prices are relatively low. Global demand is down, and there has been an increase in supply."

"So the global oil market is softer, and that creates, possibly, an opportunity to take some further action," Yellen added.

On Tuesday, the Treasury Department announced it has transferred the $20 billion U.S. portion of a $50 billion G7 loan for Ukraine to a World Bank intermediary fund, aimed at providing economic and financial aid to the war-affected country. This disbursement fulfills the U.S.'s October commitment to match the European Union's $20 billion aid package, backed by frozen Russian sovereign assets, and supported by additional loans from Britain, Canada, and Japan, in an effort to bolster Ukraine against Russia's invasion.