Will Iraq Be Harmed By The Decision To Reduce Oil Production?, 9 DEC

Will Iraq Be Harmed By The Decision To Reduce Oil Production?

Information/private..  Today, Saturday, the economic expert, Diaa Al-Mohsen, explained the reason for the decision to reduce voluntary production by OPEC Plus, while specifying the price of a barrel that OPEC prefers. He referred to Iraq’s position.

Al-Mohsen said, in an interview with the Maalouma Agency, that “the decision to voluntarily reduce oil production exported from Iraq came in response to the decisions of OPEC Plus,” indicating that “the decision is good for the country, because when OPEC decides to reduce oil production, this will lead to a decrease in supply.” in global markets.”

He explains, "This issue is very natural. The supply must be less than the demand, and this is consistent with the policy of OPEC Plus," indicating that the latter "does not want oil prices to fall below $90."

The economic expert continues, “This situation can only happen by reducing supply in global markets,” adding, “Whenever OPEC decides to reduce oil production, the price of a barrel of oil will rise in global markets.”

Earlier, 7 oil-producing countries within the “OPEC Plus” alliance took decisions to voluntarily reduce their production, by up to 1.571 million barrels per day, from the beginning of next May until the end of the year 2023. The decision announced by each country included it separately, in addition to... Saudi Arabia, Russia, the Emirates and Kuwait, as well as Iraq.

In turn, Iraq announced, thr ough the Minister of Oil, a voluntary reduction in production by 211 thousand barrels per day from next month until the end of 2023. LINK