The fall in Russian income will be sharper in the coming months and worse in the medium term, the agency predicts.
By the end of January 2023, Russia’s revenues from the sale of oil and gas plunged by almost 40% compared to January last year due to sanctions and price restrictions from Western countries. This was reported yesterday by Reuters, citing data from the International Energy Agency (IEA).
For example, last month Russia earned $18.5 billion from oil and gas exports, which is 38% less than the $30 billion it received the month before the invasion of Ukraine.
IEA Executive Director Fatih Birol explained that the reason for the decrease in Russia’s income is the sanctions against the export of energy from the West.
“We expect the decline in oil and gas revenues to be sharper in the coming months and worse in the medium term due to lack of access to technology and investment,” Birol said.
He also explained that due to price restrictions imposed by the G7, Russian Urals oil is sold at a significant discount compared to Brent oil.
Reuters recalled that the Kremlin, which earned about 11.6 trillion rubles ($146 billion) from oil and gas sales last year, is now forced to sell international reserves to cover the budget deficit in 2023 .
Earlier, Russia admitted that in January, oil and gas budget revenues reached 426 billion rubles, which fell by 46% in January 2022.
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Source: korrespondent
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.