PARIS: The head of the International Energy Agency on Wednesday called on OPEC and its allies to take measures to help bring oil prices down to “reasonable levels.”
“I very much hope to see in the next meeting or meetings they... make the necessary steps in order to comfort the global oil markets and help bring the prices down at reasonable levels,” Fatih Birol told reporters.
The head of the IEA, which unites oil consuming nations, also took aim at Russia over gas.
“Russia can easily increase exports to Europe about 15 percent... and significantly comfort the European gas markets,” said Birol.
Natural gas prices in Europe have surged this year and Russia, the region’s major supplier, has been slow to step up deliveries.
OPEC nations and their allies, including Russia, agreed in July to slowly increase their oil output each month toward pre-pandemic levels as the world economy recovers from the COVID-19 pandemic.
They have declined to move faster despite a jump in prices to over $80 per barrel, a level that many analysts worry could undermine the global economic recovery.
They are due to review their strategy at a meeting in December.
The United States and a handful of other oil consuming nations announced on Tuesday releases of supplies from their strategic petroleum reserves.
The move is aimed at blunting soaring prices at the pump that are biting into consumers’ pocketbooks and pushing up transportation costs.
“The rise in oil prices is placing a burden on consumers in these countries and also in several emerging countries,” Birol said.
“It also puts additional pressure on inflation in a period where economic recovery remains uneven and still faces a number of risks,” he added.
Inflation is pushing central banks toward raising interest rates, a move which would slow the global economic recovery as well as dent oil demand.
Global crude prices rose following the announcement of the releases from strategic reserves as the move was less ambitious than anticipated.
Birol added the releases were not a collective response by IEA members, which he said have happened only three times due to major supply shocks like the 1991 Gulf War, Hurricane Katrina and the Libyan civil war.
IEA urges OPEC to take ‘necessary steps’ to lower oil prices
https://arab.news/2e8jg
IEA urges OPEC to take ‘necessary steps’ to lower oil prices
Saudi Cabinet approves regulatory frameworks for 4 SEZs
RIYADH: Saudi Arabia has formalized the regulatory frameworks for four Special Economic Zones located in Jazan, Cloud Computing Zone, King Abdullah Economic City, and Ras Al-Khair.
These zones are designed to stimulate investment by offering tailored incentives and governance, enhancing the Kingdom’s competitive edge in sectors such as advanced manufacturing, maritime logistics, cloud technology, and energy-related industries, the Saudi Press Agency reported.
The SEZ initiative is part of Saudi Arabia’s broader economic transformation plan under Vision 2030, which aims to diversify the economy beyond oil revenues and develop new engines of growth through foreign direct investment and infrastructure development.
Saudi Minister of Investment Khalid Al-Falih expressed his appreciation for the Cabinet’s approval of the SEZ regulations, stating in a tweet: “I extend my sincere thanks and gratitude to the leadership, may God support it, for its continued support of efforts to enhance the business environment, attract investments, and diversify and raise the competitiveness of the national economy, through the essential step embodied in the Cabinet’s approval of the regulatory frameworks for the Special Economic Zones.”
The session, presided over by King Salman bin Abdulaziz Al Saud, included the approval of a wide range of cooperation agreements and memoranda of understanding.
These included an MoU on energy cooperation with Pakistan, healthcare collaboration with Iraq, and a digital communication pact with Palestine.
Additional approvals involved cooperation with the Hungarian judiciary, as well as agreements with UNESCO and the World Economic Forum.
Notably, the Cabinet approved the establishment of a commercial and economic office for the Hong Kong Special Administrative Region in Riyadh, underlining growing bilateral trade and investment ties between Saudi Arabia and Asian financial hubs.
On infrastructure, the Council noted the launch of phase three of the major road development program in Riyadh, which aims to enhance connectivity and transform the city into a regional center for sustainable transport and logistics services.
Other approvals included Saudi Arabia’s accession to the Beijing 2010 Convention on the suppression of unlawful acts relating to international civil aviation, and revisions to the governance of the General Authority for Defense Development.
The Cabinet also endorsed the closure of the national and regional tourism development councils and approved the final accounts of several government agencies.
It directed further review on annual performance reports submitted by regulatory bodies and strategic institutes, including those focusing on food security, export development, and communications.
Several high-level appointments and promotions in the foreign ministry and other government bodies were confirmed during the session, reflecting the Kingdom’s ongoing administrative reforms and leadership renewal across key sectors.
