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Putin to weaponize energy… “Payment for gas in rubles”

◀ anchor ▶

Russia has invaded Ukraine and has declared that it will have to pay in rubles to buy Russian gas, otherwise it will stop supplying gas.

Western countries protested, saying it was an unacceptable threat.

Correspondent Choi Hoon.

◀ Report ▶

Russian President Vladimir Putin has signed a presidential decree that, from April 1, when buying and selling Russian gas, you must pay in rubles.

He also warned that gas supply would be cut off if this was violated.

[블라디미르 푸틴/러시아 대통령]

“Nobody’s selling for free. We’re not going to philanthropy either. The current contract could be broken.”

Analysts say that this is to increase the value of the ruble, which has plummeted after the invasion of Ukraine.

However, it only applies to the pipeline natural gas PNG supplied by Gazprom, a state-owned gas company, and does not apply to liquefied natural gas LNG.

It was possible that the buyer would send money in dollars and euros, and the Russian bank would exchange them in rubles to make the payment, but Western countries immediately protested.

Germany, which relies on Russia for more than half of its gas, said it would continue to pay in euros or dollars, calling it an unacceptable breach of contract and intimidation.

[올라프 숄츠/독일 총리]

“We will have to review Putin’s actions, but it is clear that we will pay in euros.”

However, Germany has already issued an early warning of the gas emergency supply plan from the previous day, and is preparing for a gas supply stoppage.

France is also preparing for a situation where there is no longer Russian gas.

Major European stocks fell around 1% after Russia forced a ruble settlement.

This is Choi Hoon from MBC News.

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