For the first time since the conflict between Iran, Israel and the United States began, the price of a barrel of Brent has plummeted thanks, in part, to the G7 meeting this Monday afternoon to take measures on the conflict and stabilize the hydrocarbon markets, where the price of diesel has grown much more than gasoline.
The group discussed the possible joint release of oil reserves to stabilize fuel prices, which have not stopped growing since the conflict began. In one week it has risen more than 50% due to fear of supply problems from the Middle East. In fact, in Iran they are already rationing fuel after the continued Israeli attacks on oil bases.
What is the G7?
The G7 is an international forum made up of seven countries: the United States, Canada, Japan, Germany, France, Italy and the United Kingdom. It was founded in 1975 to coordinate responses to the first oil crisis and the global economic instability of that time. For a time, Russia was also part of the group, thus creating the G8, although it was suspended after the annexation of the Ukrainian territory of Crimea in 2014. The European Union also attends the meetings as an institutional representative of the community bloc.
Since then, they meet once a year to coordinate economic policies and debate the main global challenges. Their meetings usually address topics such as economic growth, international security, climate change or the consequences of armed conflicts, as in this case with the war in Iran.
Several sources confirm that, after the meeting, “the feelings are positive”, although they have not been able to reach an agreement to release the oil reserves.
Why doesn’t Spain participate?
Spain is not part of the so-called “group of seven” for several reasons. The G7 originated on November 15, 1975, when the first leaders’ meeting was held at the Château de Rambouillet, near Paris. At that time, our country was still under the dictatorship of Francisco Franco, who would die five days later. For this reason it was not included among the economic powers that formed the forum.
Furthermore, the G7 is a relatively closed group that has barely changed its composition since its creation, even though other economies have grown over time. This explains the presence of Italy, which today maintains an economy similar to that of Spain, but which at the time could have been more important.
However, Spain does actively participate in other international spaces where economic and geopolitical issues are debated. Among them, the G20 stands out, which brings together the world’s main developed and emerging economies, as well as its membership in NATO and the European Union.
In fact, on some occasions the country that presides over the G7 invites other states to participate as observers in certain summits, which is why Spain has attended some meetings as a guest partner.
