The policy of production cuts followed by OPEC+ countries, especially Saudi Arabia, since May helped increase oil prices and fill the Russian budget. This has been reported Bloomberg.
Saudi Arabia, the largest producer of the cartel, was the country that made the biggest contribution to the cut, with its production decreasing by 1.22 million barrels per day since February. However, it was Russia that benefited the most from this policy.
By participating in the cuts in July, Russia was able to compensate for the decline in production and exports with rising oil prices. Thanks to this, budget revenues from hydrocarbons in Russia increased for the first time in a year.
Unlike Saudi Arabia, which has suffered serious economic costs from the cuts, Russia has not only lost revenue, but has also managed to strengthen financial stability.
Thus, the policy of coordination with OPEC allowed Russia to compensate for the consequences of Western sanctions and even become a plus, significantly improving its position in the global energy market. This was a significant achievement in the context of the isolation of the Russian economy from the West.
In early August, the OPEC+ Monitoring Committee, to change oil production quotas
before in Russia guess Oil prices in the fall.