Question

Impact of Saudi-Russian oil war on Saudi Economy.

must provide the sources of data collection "links of web" "collect information from 4-6 sources"

Answer 1

Saudi Arabia & Russia have been working together to prop up oil prices for the past three years but, these two Nations failing out over Riyadh's insistence that they agree to cut oil supplies by 1.5 Million Barriers a day. Without foreign reserves an economy can grind to a halt , unable to pay for its imports & debts. Foreign reserves are important ,Saudi Arabia has foreign exchange reserves of $440bn.Russia's anger over sanctions targeted at its oil giant,Washington imposed the sanctions last month over its continued support in selling Venezuela's oil.

The two of the world's largest producers of oil Saudi Arabia & Russia, Saudi Arabia responded by offering discounts on its oil & announcing that it would increase production which in turn caused a sell off in global markets.which oil prices fallen 60% beginning of 2020 as because of coronavirus crisis, there was talk of an emergency meeting between OPED & its allies to stabilize the market but, its extending voluntary production cuts to the end of the year. OPEC's,Russia declined to approve OPEC's proposal to cut production by an additional 1.5 million bpd,& in 1.7 million bpd agreed upon in December. Saudi Arabia could potentially claimed & provide 12.3 million bpd of crude oil in April, Ravi Krishnaswamy said; The Russia & Arabia indicate that they could increase production & other countries that have the capacity to pump more barrels are likely to do. Information collected from sources that; The Combination of price war & pandemic is also creating some strange bedfellows. Presently , Saudi Arabia has every incentive to come to an output agreement, its society is simply too dependent on oil to let its prices stay on the floor , on the otherhand ; Russia , meanwhile is vulnerable to global inventory overhang,which would force its producers to shut in production. Beyond the immediate emergency,meaningful long term , they would curtail the capacity to innovate on which we depend so heavily in the transition to cleaner fuels, long term cooperation to stabilize prices would require state interventions or US import restrictions, measures supporting the post pandemic economy by pushing up fuel cuts for everybody.