Here's how much money the oil exporting countries lost due to fall in oil price
With Iraqi forces taking back the control of oil-rich city of Kirkuk from Kurdish control there is fear that a new showdown in the region is imminent
Moneycontrol News
The collapse in global oil prices has cost the Organization of the Petroleum Exporting Countries (OPEC) over Rs 65 trillion since mid-2014.
In a report by RT, OPEC Secretary General Mohammed Barkindo said that "over the past two years, we saw not only a drop in investment in the sector but also a decrease in oil revenues. Collectively, OPEC countries lost more than $1 trillion.”
The report comes at a time when the price of crude oil saw an increase following the instability in the Northern Iraq, where Iraqi official forces are seeing a tensed confrontation with Kurdish forces. With Iraqi forces taking back the control of the oil-rich city of Kirkuk from Kurdish control there is fear that a new showdown in the region is imminent.
The fear that this could risk the future supply from the region has led to an increase in price. As per the report, “Brent crude was trading over $1 higher at $58.35 per barrel, while US West Texas Intermediate jumped 88 cents to $52.31.”
The price of crude oil is seeing a steady decline. The rising interest towards alternative energy sources has forced oil producers to check the production of crude oil in order to control the decline in prices.
Major producers including OPEC members had last year decided to curb crude oil production to 18 lakh barrels per day in order to push the prices to approximately Rs 3900 per barrel.
