Rise in oil price positively affects manat rate – Energy Minister

# 16:23
6 April 2017

“Azerbaijan has fulfilled its obligation oil output cut before OPEC. As you know, we reduced the output 35,000 barrels in January-March in accordance with our obligation. We regularly inform the cartel about this”, Azerbaijani Energy Minister Natig Aliyev, who is on a visit to Turkey, told APA.


Azerbaijan is satisfied with the oil price of $50-60: “I’d say that the situation is good today. What did we achieve? Oil price has stabilized since the New Year. Important issue for Azerbaijan is that the oil price to make up $50-60 in the world market. If the oil price falls, Azerbaijan faces loss. I think Azerbaijan is satisfied with the price of $50-60. As you know that a Monitoring Committee has been created which consists of ministers of OPEC and non-OPEC countries. We plan our works in accordance with this. The monitoring will cover the first half of 2017. The committee will control fulfilment of obligations by countries and its impact on the global market. OPEC and non-OPEC countries will hold next meeting on May 19. The Committee will submit its report at that meeting. There are different proposals. However, the decision must be passed on the basis of consensus. I don’t want to name, but there are some countries that increase the output. However, we are making efforts to reduce the output. You know that such steps may have negative impacts on the oil price. Apparently, some countries don’t fulfil their obligations. We must ponder more the stability of oil price than its increase. There is a need for reasonable measures for this”.


The minister noted that the oil price rise has positively influenced the budget of oil producing countries and caused their national currency to strengthen: “Undoubtedly, oil price rise affects the manat rate and we are observing it in the recent processes”.