Skip to content
Subscriber Only

Russian Economy Gives Putin Reasons Not to Extend OPEC+ Deal

  • OPEC+ pact weighs on one of the biggest sectors of the economy
  • Deal helped to boost budget revenues amid higher oil prices
How One Village on the Volga Sowed Chaos in Europe’s Oil Market
Photographer: Andrey Rudakov/Bloomberg
Updated on

The OPEC+ pact is hurting the Russian economy, potentially giving President Vladimir Putin a reason not to agree on an extension of the deal.

While higher crude prices can bring the Kremlin additional revenue, production cuts are weighing on one of the country’s biggest industries. As the Russian leader decides whether to prolong the curbs into the second half, he may have to weigh his desire for faster economic growth against the benefits of his alliance with Saudi Arabia.