Tuesday 04, March 2014 by Robin Amlôt

Moody's: Oil price scenario of $90/barrel negative for some GCC economies, neutral for others

The effects on the economies of Gulf Cooperation Council (GCC) countries would be negative to neutral under an adverse scenario in which oil prices decline to $90/barrel (pb) by 2020, says Moody's Investors Service in a Special Comment report published today. While Moody's central oil price scenario for the period until 2020 anticipates a gentle decline in oil prices, the rating agency has also considered the likely implications of the aforementioned adverse scenario because a number of GCC countries are already experiencing fiscal pressures in the current stable oil price environment.

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