Oil at $90 (or more).
Saudi Arabia's foreign exchange reserves decreased to 1,707,639 SAR million in December, 2021, from 1,741,516 SAR million in November, 2021.
Years ago we suggested Saudi Arabia needed $100-oil to meet its budget. No one talks about that any more.
But it appears at $90+ oil Saudi is unable to grow its foreign exchange assets account. Imports must be costing more. Imports like: food, cars, clothes, computers, cellphones, food, jewelry, bottled water, did we mention food?
Maybe that explains why Saudi Aramco is talking about another $50 billion stake sale via a new fresh share listing.
Charts released overnight, February 5 - 6, 2022:
From a post late last week:
Saudi Arabia: inshallah. Read the social media responses from Saudi Arabia in the thread the link. Baghdad Bob is reporting.
Saudis need to drill baby drill to offset declines in well output.
ReplyDeleteAt this price it speaks volumes why they are not drilling.
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