
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
Startled Venezuelans express relief but also fear after Maduro arrest - 2
Defence chiefs of Thailand and Cambodia to discuss ceasefire - 3
What's going on with Katseye? The Manon Bannerman hiatus drama, explained. - 4
Figure out How to Advance Space in Your Pre-assembled Home for Upgraded Usefulness - 5
Falcon 9 rocket launches Starlink satellites before making 550th SpaceX landing (video)
Artemis II crew cleared to depart Earth orbit, head for moon
Watch interstellar comet 3I/ATLAS make its closest approach to Earth in free livestream on Dec. 18
After harsh winter, Ukrainians find joy in releasing bats rescued from war
Bronze Age "City of Seven Ravines" unearthed in central Asia after 3,500 years
The Best Computer games Ever
Civil rights leader Jesse Jackson hospitalized, family requests prayers
Figure out How to Analyze Medical attendant Compensation Patterns Across Different Specializations
Nutrient Rich Natural products: Lift Your Wellbeing
Coca-Cola Co. and bottlers to invest in South Africa operations













