Oil prices rose on Monday after an agreement by the G-7 group and its allies to set Russian crude prices at $60 a barrel.

Brent crude added nearly 0.7 percent to $86 in Asian markets.

The move to freeze Russian oil prices, which could take effect on Monday, increases Western pressure on Russia over its aggression in Ukraine.

The decision comes after oil producer group OPEC Plus agreed to stick to its policy of production cuts amid sluggish global growth and high interest rates.

OPEC Plus is a group of 23 oil-exporting nations, including Russia, that meet regularly to decide how much crude oil to sell on the world market.

In a joint statement last week, the G7 and Australia said the $60 cap on Russian oil would take effect on Monday or shortly thereafter.

The move was intended to prevent Russia from benefiting from a war of aggression against Ukraine, they added.

This could make it difficult for Moscow to sell its oil at higher prices, as many major shipping and insurance companies are located within the G-7.

The G-7 is an organization of the world’s seven advanced economies, which dominate global trade and the international financial system. They are Canada, France, Germany, Italy, Japan, UK and USA.

(05 Dec/FA)