Russian Finance Minister Anton Siluanov said that his Department has no plans to revise the oil price in the budget of the Russian Federation in 2017-2019, in connection with the decision of OPEC to reduce oil production. “The forecast oil price what was, such and remains” – he said the TV channel “Russia 24″.
The budget for this year been drawn up based on oil prices of $ 40 per barrel, the budget for the next three years is currently being prepared by the government to introduce in the state Duma.
“If we see large performance price of oil and, respectively, the resources we can attract, then we can reduce the spending of reserve funds and to talk about the change in the volume of borrowings in domestic and foreign market”, – the Minister added.
In his opinion, further growth of oil prices will depend on the stiffness of intent to comply with the decision of OPEC and the development of the project of shale oil.
The Minister also stressed that the Russian budget needs to be aligned with the opportunities that are there. “We are reducing the budget deficit each year provided for reducing imbalance by 1% to bring the budget balance (deficit) 2019 at a level of about 1% of GDP. Perfectly acceptable size,” – said the Minister.
He added that in this regard in the coming years provides for a significant change in the expenditures compared to expenditures of 2016.
“We are not going to raise taxes, which is very important. The government has decided not to take the decision to increase the tax burden for the next three years,” said Siluanov.
Earlier Friday, Vagit Alekperov, head of LUKOIL, the largest private oil company in Russia, saidthat, in his opinion, the agreement by OPEC to stabilize the oil will help to maintain the oil price at its current level of 50 dollars per barrel, and not its growth.
On Wednesday, we will remind, the OPEC countries at an informal meeting in Algiers, unexpectedly for the market have been able to agree on reducing oil production from the current of 33.24 million barrels per day to 32.5-33 million barrels per day.
Final, confirmed in writing agreements must be reached at the formal meeting of the cartel in November in Vienna. Then decisions will be made about the production quota of the OPEC countries and established a timetable for the reduction.
Russian energy Minister Alexander Novak has said that Russia is ready to consider participation in joint actions of members of OPEC and other producing countries in the oil market. In October – November, the Russian Federation will conduct extensive consultations with the OPEC countries and will carefully consider the proposals of the cartel in stabilizing the oil market.
Many analysts doubtthat the agreement about production limits will be respected and will be of interest to exporters outside OPEC. A rise in prices, they warn, in the case of the implementation of the transaction will lead to the drilling of new wells around the world, causing a new increase in supply.