US Actions Kept Oil Prices Near $100, Not $150, Says Treasury Chief

Testifying before a Senate panel, Bessent noted that US decisions on sanctions and supply played a key role in stabilising markets during the ongoing conflict.

"If we had not done that sanctions relief, they might have been at $150," he said, adding that the global market was kept "very well supplied".

He stressed that the approach was aimed not only at domestic consumers but also at global partners.

"Just as you are concerned about gasoline prices for the American consumer and for our Asian allies, as are we," Bessent said.

The remarks signal a calibrated US approach to sanctions, balancing geopolitical pressure with the need to maintain steady global energy flows -- a critical factor for large importers such as India.

Bessent also pushed back against claims that sanctions relief had benefited adversaries like Iran or Russia.

"The $14 billion is a myth," he said, rejecting assertions that Tehran had gained significant revenue.

He added that maintaining supply at lower effective prices ultimately limited gains for producers.

"If Russia was... selling their oil at a 20 per cent discount... 100 per cent of 100 is less than 80 per cent of 150," the Treasury Secretary said.

Beyond energy, Bessent highlighted Treasury's focus on digital finance as a strategic priority.

He pointed to new funding to implement the GENIUS Act and build expertise in "digital assets... and global financial markets".

He said US leadership in financial innovation is essential to maintaining the dollar's global dominance, adding that digital assets could become "a very important payment rail".

At home, Bessent emphasised a technology-driven overhaul of the Internal Revenue Service, describing efforts to build a "digital first agency".

He said electronic filing rates have surged while costs have fallen.

"Paper processing costs have gone from $45 million to $20 million," he noted.

The Internal Revenue Service (IRS) is also using data tools to improve compliance.

"We actually... can go back to a taxpayer and say that you will likely be audited... would you like to redo it in advance?" Bessent said.

He added that such measures are delivering stronger results even with lower spending.

"We believe in outcomes," he said, citing higher enforcement recoveries.

Lawmakers raised concerns over the broader economic impact of the US administration's policies.

Senator Jack Reed warned that cuts to IRS enforcement would weaken revenue collection.

"Every dollar the agency invests in enforcement brings $11 back from tax cheats," he said.

He also highlighted rising costs for consumers, saying Americans are "paying more at the pump and for other everyday necessities".

Bessent countered that higher spending does not guarantee better outcomes.

"We haven't seen that... that more money equals better outcomes," he said.

- IANS