Russian Vice Premier Arkadii Dvorkovich did not rule out that one of the goals of reduction of oil price could have been weakening of the Russian economy. But he believes that this would not have been the main motive of price reduction.
He called oil price of $80.00-85.00 per barrel reasonable. “Expensive oil and expensive projects should leave the market first. This will restore prices at a certain level. But this will hardly be $110-120 per barrel again, but I am ready to repeat what I have said earlier that the oil price of $80.00-85.00 looks reasonable even with all the tendencies,” Dvorkovich added.
“Very low oil price is unprofitable for many countries. The budgets of the countries making oil suffer. Secondly, many projects will not get investments, if such a volatility of oil prices remains and this means that oil supply will go down and prices could go high up and at a certain moment it will seem that investments have not been made and there is no oil.”
According to his estimates, several months are left till the prices start going up.