Saudi Arabia Leads Gulf Nations in Cutting Break-Even Oil Price
- IMF sees oil prices at $50 to $60 a barrel for ‘medium term’
- Iran, Iraq, Kuwait, Qatar will have budget surpluses in 2018
Standard Bank's Ballim Sees Oil at $50 a Barrel
This article is for subscribers only.
Saudi Arabia, OPEC’s biggest oil producer, is also a leader when it comes to slashing the crude price the country needs to balance its budget.
The kingdom will need oil to trade at $70 a barrel next year to break even, the Washington-based International Monetary Fund said Tuesday in its Regional Economic Outlook for the Middle East and Central Asia. That’s down from a break-even of $96.60 a barrel in 2016, the biggest drop of eight crude producers in the Persian Gulf. The break-even is a measure of the crude price needed to meet spending plans and balance the budget.