Russian Budget Receives Over $100Bln From OPEC+ Deal - Russian Direct Investment Fund Head

Sputnik, 02.10.2019

MOSCOW, October 2 (Sputnik) - The Russian budget has received over $100 billion from the boost in crude prices that resulted from the OPEC+ oil output cut deal, Russian Direct Investment Fund CEO Kirill Dmitriev said on Wednesday.

"The Russian budget has received more than $100 billion from this deal. It is especially important now, when the market volatility continues," Dmitriev said in an interview with the Rossiya 24 broadcaster.

He went on to say that few believed it would be possible to agree with Saudi Arabia and other OPEC states, and that there was a lot of distrust at first.

"But this distrust was overcome," Dmitriev said.

Later, the fund's chief told reporters on the sidelines of Russian Energy Week that global alliances were helping to increase stability amid oil market volatility and geopolitical tensions.

"The OPEC+ deal is especially relevant now, when we see the volatility in the oil markets, we see that global demand may decrease due to US-China trade wars. And accordingly, especially at this time of some uncertainty in demand in global energy markets, the alliances of Saudi Arabia and Russia and other OPEC members are critical," Dmitriev added.

OPEC member states, Russia, and other oil producing countries, together known as OPEC+, started capping their outputs in 2017. The OPEC+ deal has been extended several times since then, with the current extension running until April 1, 2020.