Falling of oil prices creates financial problems for all market participants

16 february 2015

Leonid Grigoriev, the Chief Adviser to the Head of the Analytical Center, participated in the seminar "The new role of OPEC: Prices and Production", which was held in the Institute of World Economy and International Relations of the Russian Academy of Sciences in the framework of the "Oil and Gas Dialogue" Forum.

Leonid Grigoriev showed the possibility of use of two approaches to analyse the problem of "the role of OPEC and the oil price". In terms of oil, this is the current balance of supply and demand: the fuel competition and investment environment in the long term, political and legal restrictions on the market. "In terms of country-based approach, we go from the "OPEC core", four kingdoms of the Persian Gulf and other exporters (poorer), to countries which supply labor to exporters of oil and receive remittances, important for their economic development. The falling of prices doubled in six months creates huge financial problems for all market participants", said Mr. Grigoriev.

The seminar was attended by over 150 people - representatives of the RF Ministry of Foreign Affairs, the Federal Property Agency, the Chamber of Commerce, Gazprom, Gazpromenergoholding, Lukoil, Sberbank, the Russian Gas Society, the EU Delegation to Russia, embassies of Bulgaria, Hungary, the Czech Republic, Poland, Trade Mission of Ecuador, Ernst & Young , INTSOK, Gasunie, Mitsubishi, Rystad Energy, the Central Control Administration of the Fuel and Energy Complex, the Russian Presidential Academy of National Economy and Public Administration, the Gubkin State University of Oil and Gas, Giprospetsgaz, the Institute of Energy Strategy, the Central Economic and Mathematical Institute of the Russian Academy of Sciences, VNIIGAZ, the Higher School of Economics, the National Energy Security Fund, the Institute of Economics, the Institute of USA and Canada, the Moscow State Institute for International Relations.