Oil prices have surged by around 5% to $68 a barrel after global oil cartel OPEC+ agreed to rollover its current production quotas for all members except Russia and Kazakhstan. The improving price recovery offers hope of future rises to OPEC’s African member states, whose economies have been battered by a sustained period of low oil prices worsened by the pandemic, but commits them to strict measures to rein in their production. Strict quota targets will continue to prevent OPEC’s African members, including Algeria, Angola, Republic of Congo, Equatorial Guinea, Gabon and Nigeria, from pumping excess oil to make up for budgetary shortfalls. Libya, also a member, is exempt from the quotas. OPEC’s 13 members pumped 24.89m barrels per day (bpd) in February, according to a Reuters survey, down 870,000 bpd from January. Under the latest agreement OPEC will keep about 8m bpd of crude production off the market for another month.
SOURCE: AFRICAN BUSINESS
More Stories
Tough Times Lie Ahead for Banks in Africa
The Most Prominent Challenge Female Entrepreneurs Face across Sub-Saharan Africa
Egypt to Raise Transit Fees in 2023 for all Types of Vessels Passing through the Suez Canal
Malawi Remains the World’s Poorest Peaceful Country
AfDB On How South Africa Should Use its Climate Funding
Can Nigeria’s National Carrier Rise from the Ashes?
Africa’s Top Mobile Internet Speed Falls Short of the Global Average
South Africa’s Latest Rolling Blackouts Takes its Toll on Fundamental Sectors of the Economy
Rallying Around Zimbabwe’s Economy
African Currencies are Depreciating against the Dollar
Movie about a Malawian Farmer and her Efforts to Change Minds in her Village and in the US
DRC’s Urban Regeneration