Russian officials and experts warned that oil prices will remain below $80 per barrel for some time, after OPEC’s decision not to cut output. It will hurt the economies of Russia, Iran, and Venezuela – and deal a blow to shale oil production in the US.
OPEC announced on Thursday that it will not be changing production levels, leaving the daily output ceiling at 30 million barrels despite oversupply concerns and soft oil prices.
Impact on Russia’s budget
Following the meeting, Russian Minister of Finance Anton Siluanov said that Moscow needs to review its state budget under the conditions that oil prices are likely to remain at around $80 per barrel, and not $100 per barrel, for the next few years, RIA Novosti reported.