Russia Prepared for $40 Oil
Russia Prepared for $40 Oil

Russia Prepared for $40 Oil

Russia Prepared for $40 Oil

Russia has accounted for oil at $40 a barrel in its budget, the country's Finance Minister Anton Siluanov told CNBC in a TV interview on Friday.
Brent crude was trading above $57 on Friday, but the Russian minister said the budget has taken into account price fluctuations, CNBC reported.
"In order to minimize price fluctuations in foreign markets, we have prepared a budget which is based on a price of $40 a barrel. I think that this is a fairly considered and conservative price, which has been factored in for the next three years," Siluanov told CNBC in a TV interview on Friday. "Incidentally, our balance of payments on our current account is balanced on a price of $40 a barrel. Therefore, the percentage of the federal budget from oil and gas revenues has gone down from 60% to 40%."
Oil prices have fluctuated this year, falling below $45 a barrel and going above $59.
But some analysts have predicted prices could go lower. Global stock builds, rising non-OPEC production and sluggish growth in demand could weigh on the oil price, the International Energy Agency said in its report published on Thursday.
Meanwhile, OPEC's production hit the second highest monthly level this year in September.
"Our challenge is to safeguard our budget, to safeguard the implementation of our obligations with regards outside factors, including a reduction in the price of oil," Siluanov said.


Short URL : https://goo.gl/jRmFL2
  1. https://goo.gl/Ewrgp3
  • https://goo.gl/VPNp5a
  • https://goo.gl/X8jfAu
  • https://goo.gl/TbFAV9
  • https://goo.gl/3oV35a

You can also read ...

China Can Substitute US Crude With Iranian Oil
Beijing’s retaliatory measures against US tariffs can include...
Exxon to Build LNG Terminal in Australia
ExxonMobil plans to develop a project to import liquefied...
Iran to Tap International Banks for Energy Finance
Domestic water and power plans are expected to draw a total of...
Goldman kept its forecast that Brent Crude will hit $82.50 a barrel this summer and end 2018 at $75 per barrel.
Despite expectations that OPEC and Russia will likely decide...
Japan Accelerates Plan for Restoring Gas Supply
Japan’s Osaka Gas Company said on Tuesday it would bring...
NIOC Needs to Maintain Current Output, Exports
Despite the US-Saudi Arabia ploy to coerce OPEC members' to...

Add new comment

Read our comment policy before posting your viewpoints