A few days ago I asked where, with the implementation of EU sanctions on Iranian oil imports, will Greece, which currently imports 30% of its domestic oil from Iran on favourable terms, source its oil from?
I noted earlier this month that oil would likely rise to $150 a barrel, a price that would cripple the already enfeebled Greek economy.
Now it seems that IMF have woken up to this issue, and have warned that sanctions will cause a "large effect
The Telegraph quotes the IMF:
"A halt of Iran's exports to OECD economies without offset from other
sources would likely trigger an initial oil price increase of around
Brent crude is currently trading at over $110 per barrel, a rise of 30% gives a price of $143.