The Bank of Russia announced on May 7 that it has included a new methodology for calculating wholesale price indices for petrol, diesel fuel, jet kerosene, fuel oil, and liquefied petroleum gases in its official register. The methodology was developed by the Saint Petersburg International Mercantile Exchange (SPIMEX).
According to the announcement, the methodology outlines procedures for calculating both exchange and over-the-counter price indices. These indices are intended to reflect the dynamics of refined product prices nationwide as well as in specific production regions.
The approval followed discussions with the Federal Antimonopoly Service of Russia, relevant agencies, and market participants. Some of these indices are already used by agencies and market players as settlement prices for cash-settled futures contracts.
The Bank said that including this methodology in its register will expand use of these indices within the market and enhance confidence in pricing financial instruments linked to them. “Including the methodology in the register will expand the use of the indices in the market and enhance confidence in pricing financial instruments linked to these indices,” according to the release.
The full text of the approved methodology is available on SPIMEX’s website. The Bank of Russia serves as the sole issuer of the Russian ruble and manages national cash circulation; it operates independently from other government bodies while aiming to promote financial stability and foster a competitive financial market, according to its official website.
Looking ahead, officials expect broader adoption of these standardized price indicators across different segments of Russia’s energy markets.