Iraq stares into revenue abyss
Plummeting oil prices and stagnant production have thrown government finances into chaos
The steep drop in global oil prices has plunged Iraq into a budgetary crisis. Iraqi oil minister Thamir Ghadhban appealed to Opec secretary general Mohammed Barkindo in mid-March for an emergency meeting to address the situation, with oil having slid to lows not seen since before the US invasion of Iraq nearly 17 years ago. Saudi Arabia’s decision earlier in the month to launch a price war—just as the coronavirus pandemic was causing demand to collapse—is wreaking financial havoc on producers worldwide. The Saudis abandoned the Opec+ output cuts, in place for some three years, as a result of Russian refusal to sign up to deeper curbs. The depressive effect of Covid-19 was already throwing B
Also in this section
25 April 2024
Some companies with assets in Israel have turned towards Egypt as tensions escalate, but others are holding firm despite rising tensions
24 April 2024
But even planned exploration activity is unlikely to reverse declining output from mature fields
23 April 2024
Cheaper Russian barrels and lower overall crude prices have helped cut key oil consumer’s import bills in election year
22 April 2024
Pursuing three different goals as part of the same package may mean achieving none of them