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Oil is flat, and these five crude-dependent countries need a
World Economy
Personal-Financers
admin
2017-03-22 16:56

Oil workers conduct a drill in a petroleum well in Lagunillas at the east coast of Lake Maracaibo near Maracaibo City in Venezuela.

Jorge Silva | Reuters    

Brother, can you spare a few billion dollars?

Nearly six months after OPEC's eagerly anticipated deal in Algiers cut output and boosted prices, crude has held above its January 2016 low of around $37. Still, the current price per barrel near $50 is well below peaks above $100 last seen in 2014. Many OPEC nations are being deprived of needed oil revenues, and governments are scrambling to adjust to a world of cheap and abundant oil amid stagnant demand.

In the face of crude's failure to rebound meaningfully, Bank of America-Merrill Lynch declared this week that crude is facing a "moment of truth," and forecasted international and U.S. crude prices will be capped near $70 this year. Separately, the International Energy Agency expects lower oil demand, even as OPEC and non-OPEC countries recently churned out nearly 97 million barrels per day.

With those price ranges being far below the comfort levels of oil-producing economies starved for cash, CNBC recently canvassed experts to see which countries — formerly flush with oil money — could desperately use a reversal of fortunes in oil markets.