Dearer fuel ‘threat to Russian economy’

4 Aug, 2006 06:02 / Updated 18 years ago

Petrol prices rose 3.6 per cent in the first half of this year. Experts say that if the pump price exceeds 21 roubles per litre – around 70 U.S. cents – it could harm Russia's economy.

Sixteen per cent of Russians polled would refuse to drive their car if fuel reached 20 roubles per litre, according to recent research. Today, a litre ranges between 18 roubles and 19.5 roubles, around 70 cents per litre.The head of Russia’s Oil and Gas Union, Yuri Shafrannik, said the Russian economy would not stand a price higher than 21 roubles per litre but that this could happen if crude stayed at $75 per barrel for another six months.