Russia » Economics
Author`s name Dmitry Sudakov

Russia May Lose Influence on Setting Oil and Gas Prices

Russia will not be able to dictate prices on its exported fuel, experts of the Institute of Contemporary Development said in their report.

The specialists said that the Russian Federation would have to face serious economic problems already in the near future.

“The demand on oil and gas will remain, of course, but it will be a different kind of demand, where the customer, not the producer, will dictate the prices,” Evgeny Gontmakher, a senior official with the Institute of Contemporary Development said.

The expert believes that the state of affairs in modern-day Russia is very similar to that in the USSR during the stagnation period, when oil prices were high too.

“The current oil price is still a consolation. We had $30 per barrel a year ago – everyone panicked and did not know what to do. Now the price is high, and there is no need to think of development. This is another stagnation period for Russia,” Gontmakher said.

The report also said that Russia would not be able to compensate the reduction of the export of hydrocarbons. Its export ties with former Soviet states (CIS) gradually worsen under the influence of competitors – the EU, the USA, China, Turkey and Iran. As a result, Russia may lose its status of the sole strategic partner for the CIS. China and the European Union have all chances to enter the market of the region instead of Russia.

Utro

Representatives of the North Korean administration issued a statement saying that the United States and its allies have lost the "political and military confrontation" to the DPRK

North Korea declares victory over USA
Comments
North Korea is not a threat to the US
Should Russian athletes go to non-Olympic Games in South Korea?
Russia on the eve of another Crimea referendum
Russia to install laser navigation system on the Moon
Russia to install laser navigation system on the Moon
Putin to Sobchak: We will never let them turn Russia into another Ukraine
USA to ruin Russian-Japanese relationship with the help of Aegis Ashore system
Putin to Sobchak: We will never let them turn Russia into another Ukraine
Russia not pulling out from any international agreements, Putin says
Donbass without militia will be worse than Srebrenica - Putin
Donbass without militia will be worse than Srebrenica - Putin
Putin: Russia will continue spending enough on defence not to be killed
Putin: Russia will continue spending enough on defence not to be killed
Putin to Sobchak: We will never let them turn Russia into another Ukraine
Putin to Sobchak: We will never let them turn Russia into another Ukraine
Putin to Sobchak: We will never let them turn Russia into another Ukraine
Putin to Sobchak: We will never let them turn Russia into another Ukraine
Putin: Russia will continue spending enough on defence not to be killed
Putin: Russia will continue spending enough on defence not to be killed
Putin in Egypt: Who's the big player in the Middle East?
Kim Jong-un's tactic of hard power teaches USA lesson of obedience