Amid discussions about the possible end of the war in Ukraine, Europe is considering resuming Russian gas purchases, according to The Economist.
Some European officials view Russian gas as a way to reduce electricity bills, which could help revive struggling industries and ease the burden on households.
Goldman Sachs predicts that the end of the war could lead to a 0.5% increase in European GDP, primarily due to lower gas prices. Proponents of resuming purchases believe that it could encourage Putin to engage in peace talks and abide by agreements.
The discussions have gained momentum during the coldest winter in Europe in the past three years, when the gas shortage is especially acute. The issue of resuming gas transit through Ukraine remains crucial, as it could lower prices by increasing competition among suppliers.
Furthermore, Donald Trump’s position remains uncertain. He may consider the return of some Russian gas as part of a peace deal.
