SHARM EL-SHEIKH, Egypt, Nov 9 — The head of the International Energy Agency (IEA) said today oil prices “flirting with US$100 (RM471)” were a real risk for the global economy, adding he was surprised by the Opec+ decision to cut output at its October 5 meeting.
IEA Executive Director Fatih Birol said in the past oil producing nations had taken decisions that calmed markets.
“This decision may put further upward pressure on inflation and weaken the global economy,” Birol told Reuters on the sidelines of the COP27 climate conference in Egypt.
The Organisation of the Petroleum Exporting Countries (Opec) and its allies, known as Opec+, decided to lower targeted production by 2 million barrels per day (bpd) in October, despite opposition to cuts from the United States and others.
The group next meets in Vienna on December 4.
Birol said that officials from developing countries attending the climate conference had pointed to high oil prices as a driver of inflation. — Reuters
