The government’s financial adviser, Madhar Muhammad Salih, confirmed that the oil price remaining at $80 will gradually reduce the state’s general budget deficit.
He told the National Iraqi News Agency (NINA): What OPEC + made of the decision to reduce voluntary production of member countries throughout the current year by about 1.5 million barrels and in different shares undoubtedly comes as a result of the fluctuations in the geopolitical situation and its effects in Russia or the battlefields.
Salih added: The decision of OPEC + came in line with the geopolitical control of energy flows in the world, which is dominated by preparations for the ongoing field war between East and West.
He explained: The default price for calculating oil revenues in the draft general budget in Iraq is $70, and the annual average of crude oil prices is about $80 per barrel, which will reduce the hypothetical deficit gap of 63 trillion dinars, provided that the decrease in Iraq’s share of controlling production is compensated and excessive consumption to avoid excessive domestic consumption of crude oil, in order to maintain the maximum revenue for the general budget with the least possible deficit.
Source: National Iraqi News Agency