
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
Top 10 Arising Advances That Will Shape What's in store - 2
Find the Standards of Viable Refereeing: Settling Debates with Strategy - 3
At UN climate conference, some activists and scientists want more talk on reforming agriculture - 4
Don't miss the waxing moon swing by the Beehive star cluster March 27 - 5
Instructions to Pick the Best Course for Your Next Waterway Voyage: Objections, Views, and Social Encounters
They died 'doing what they loved': The stories of workers in their 80s who died on the job
A red meat allergy from tick bites is spreading – and the lone star tick isn’t the only alpha-gal carrier to worry about
Figuring out the Business venture Code: The Response to Building an Effective Startup
Dr. Vinay Prasad's memo raises concerns about COVID-19 vaccines and pediatric mortality
Report: Russian military pressuring students to work as drone pilots
Gulf countries continue to face Iran attacks as criticial energy infrastructure at risk
Tracking down the Right Equilibrium: Charges versus Personal Costs in Senior Protection.
5 Different ways Macintosh is Prepared to Overwhelm Gaming, Even Against Windows
Hunger and makeshift shelters persist in north Caribbean nearly 2 months after Hurricane Melissa













