
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
Mossad unveils network of Hamas terror infrastructure across Europe - 2
Flu season is ramping up, and some experts are "pretty worried" - 3
Jillian Michaels put me at the center of a body positivity debate. She's not entirely wrong about obesity. - 4
4 Coolers for Present day Kitchens - 5
We analyzed Philly street scenes and identified signs of gentrification using machine learning trained on longtime residents’ observations
Dozens killed as Angola flood death toll rises
6 Hints to Upgrade Your Appeal, In addition to Your Outlook
Israeli naval intelligence reduces Iranian threat to Strait of Hormuz
The Difficulties of Getting a Green Card in the US
Hamas urges Hezbollah to kidnap Israeli soldiers in wake of Knesset passing death penalty bill
Merz: 80% of Syrians in Germany should return in three years
Israel issues notice that Ben-Gurion Airport flights likely restricted until at least April 16
FDA adds strongest warning to Sarepta gene therapy linked to 2 patient deaths
New materials, old physics – the science behind how your winter jacket keeps you warm













