
Russia is generating billions in revenues from its commodity exports due to the effective closure of the Strait of Hormuz, the German-Russian Foreign Trade Chamber reported on Tuesday.
Russia’s profits from exporting oil, gas and fertilizer amount to more than €10 billion ($11.54 billion) a month, the chamber said. "Russia is the big winner of the new war in the Middle East," Matthias Schepp, the chamber’s chairman, told dpa.
Russia is benefiting from higher global commodity prices because it uses other export routes. All of this could "bring Russia an unexpected windfall on a historic scale," Schepp said in Moscow.
With a sustained oil price of around $100 a barrel, Russia could expect an annual increase of $71.8 billion compared with the budget plan.
The price of Brent crude for June delivery rose to more than $111 per industry-standard barrel - each of which holds 159 litres - at the start of the week. That is almost $40 more than before the war began.
The Russian budget is heavily dependent on the sale of oil and gas, with $59 per barrel currently assumed in the budget. Before the Iran war, it showed a deficit because the oil price was below the planned level.
"At the current price level, Moscow can generate around $50 billion in additional revenue per year from oil and gas alone," the chamber said.
Russia funds its war in Ukraine through exports
Russia, which is also hoping for an end to Western sanctions, is using the proceeds from commodity sales to finance its war against Ukraine.
Some in Moscow are already hoping for an oil price of $200 per barrel. According to the chamber, that would bring in $350.4 billion, $247 billion more than planned in the budget.
LATEST POSTS
- 1
The Excursion to Monetary Proficiency: Individual budget Triumphs - 2
Novo and Lilly cut prices of weight-loss drugs in China - 3
Vote In favor of Your Favored Menial helper Administration - 4
Aspect Biosystems receives funding for cellular medicine project - 5
German-Polish man charged with calling for attacks on top politicians
Syria rejects forced deportations from Germany amid migration debate
NASA unveils close-up pictures of the comet popping by from another star
CDC clarifies stance on vaccines and autism, stating no evidence supports the link
Father and son spending Christmas together after health scares
Hundreds of kilos of protected plant seized by Israel Nature and Parks Authority in Golan
Wedding trip Objections in Europe
Dutch police probe a small blast outside a pro-Israel Christian center
Wegmans recalls mixed nuts over salmonella contamination fears
The Best 15 Applications for Efficiency and Association












