The Organisation of the Petroleum Exporting Countries (OPEC) and its allies agreed to cut oil output by 12 lakh barrels a day to boost global oil markets. OPEC, the group of 14 nations, will cut crude oil output by 8 lakh barrels per day, while Russia and its allied producers would slash around 4 lakh barrels.
This was stated by Iraq’s Oil Minister Thamer Abbas al-Ghadhban after the meeting of OPEC members and its allies in Vienna yesterday.
The agreement is set to be implemented from next month.
OPEC and its partners, which together account for around half of global output, say a glut in the market has led to oil prices falling by more than 30 per cent in two months.
Prior to the meeting, Saudi Arabia had said, the group would seriously consider the views of Prime Minister Narendra Modi and US President Donald Trump on lowering global crude oil prices.