
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
Ober Gabelhorn glacier reveals remains of man missing for over three decades - 2
Focus on Yourself: Wellbeing and Taking care of oneself Practices - 3
Dental Embed Innovation: An Achievement in Helpful Dentistry - 4
Florence's Uffizi Gallery moves treasures to safety after cyberattack - 5
The most effective method to Guarantee Simple Availability in Seniors' SUVs
Charli xcx teases new film ‘The Moment’: What to know about the A24 movie
A top Marine shares his secrets to keeping fit at 50
German foreign minister backs abandoning EU's unanimity principle
Vote in favor of Your #1 BWM Vehicles
Interpreter Starts Sobbing as 11-Year-Old Testifies About Last Time He Saw His Mom Before She Was Killed in Missile Strike
A mom's viral post is raising the question: Do kids need snacks? Dietitians have answers.
Tech for Learning: Online Courses and Instructive Apparatuses
Baidu robotaxi outage in Wuhan caused by 'system failure', police say
‘We are the alternative’: Anti-Hamas Gaza militia tells BBC group is receiving international support













